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: Early this morning, Capital One Southcoast upgraded Goodrich Petroleum
So what: As I mentioned last month in relation to Capital One's upgrade of Newpark Resources
Now what: No mystery here. If Capital One tells you to buy a stock, odds are the smarter play is to sell it -- or at least not buy. And Goodrich seems no exception. Here, we've got a profitless company with a -194% "profit" margin, and well over $400 million in net debt.
Yep, folks. Looks like Capital One has found itself another "winner." Probably best to join the crowd on this one, and dump it.
Not scared yet? Still got at least a little interest in Goodrich Petroleum? Add it to your watchlist and see if I'm wrong.