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 Southern Union (NYSE: SUG) jumped 17% today when Williams (NYSE: WMB) made a bid to buy the company.

So what: Williams bid of $4.9 billion, or $39 per share, topped an existing bid from Energy Transfer Equity (NYSE: ETE) to buy the company for $4.2 billion, or $33 per share. With Southern Union’s shares now trading near $40 per share, investors are betting a bidding war will erupt, sending shares higher.

Now what: The question really becomes: What if Energy Transfer Equity makes a bid to top Williams’ price? Betting on buyout offers like that is risky business, but the backstop of $39 per share wouldn’t result in too much downside if another offer doesn’t come through. I’m not buying today, and I’d wait this one out if I owned shares, because the possibility of another bump could lead to an even bigger payday.

Interested in more info on Southern Union? Add it to your watchlist.

Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his CAPS picks at TMFFlushDraw.

Try any of our Foolish newsletter services free for 30 days. 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 has a disclosure policy.