Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of pharmacy chain Rite Aid
So what: What's driven today's surge? That's a bit of a mystery. As far as I could find, there's no new Wall Street research out that touts the stock, and the only word from the company today is the SEC filing for the tender offer for employee options. And rather than any sort of good news, the latter is simply a reminder of why option-based compensation is so often a raw deal for shareholders. Instead, it seems more likely that the buying today could be more of a short-covering rally, after the stock was chopped by roughly a third over the past month.
Now what: At this point, Rite Aid is a bit of a gamble. The company faces tough competition from pharmacy powerhouses Walgreen
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