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 oil tanker fleet operator Teekay Tankers
So what: The shipper got a rare dose of love from Wall Street as Bank of America Merrill Lynch upgraded the stock from a sell to a buy with a generous price target of $12 per share. That's 23% above last night's closing price, and would take the stock back to levels not seen since early February.
Now what: The company has a history of strong cash flows and generous dividends, with an 11% yield fully in class with income-generation favorites BP Prudhoe Bay Royalty Trust and Encore Energy Partners. But those two have also provided positive stock returns over the past year, while Teekay's yield is juiced by a depressed share price. This could be the turning point for Teekay, after which the stock returns to a higher level but loses a bit of that tasty dividend yield in return.
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Fool contributor Anders Bylund holds no position in any of the companies discussed here. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool is investors writing for investors.