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 Chinese online gaming specialist Shanda Games
So what: Shanda Games jumped sky-high at the end of November as the company announced an insanely generous $1.02 special dividend per depositary share. Today, the stock gives back the dividend-fueled price boost as the ex-dividend date rolls by -- buying shares today won't land you a 20% yield anymore.
Now what: The company ordered up this special dividend because its cash balance outstripped short-term capital needs. I have to wonder if Shanda couldn't have found a better use of $285 million, such as buying smaller rival The9
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