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 ITC Holdings (NYSE: ITC) soared as much as 11% in early trading before closing up 3%. The operator of power distribution systems announced plans to purchase Entergy's (NYSE: ETR) transmission business for $1.78 billion.

So what: Initial enthusiasm faded after investors realized the full price of the deal. Reuters reports that Entergy's transmission business is already the subject of a Department of Justice investigation and will need $2 billion in investment over the next four to five years.

Now what: In the here and now, ITC announced a plan to pay out a $700 million one-time dividend to shareholders ahead of the deal. Management also said it expects $3.90 to $4.05 in per-share profit for 2012. Analysts were calling for $4.03 a share. Do either of these moves matter? Would you buy shares of ITC Holdings at current prices? Please weigh in using the comments box below.

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This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.