TIE (and the Dallas Skyline) was welcomed to the S&P 500 tonight, replacing Bausch & Lomb. The stock is up more than $2.50 after hours and I expect a very good day for TIE tomorrow. For TIE longs, this is great news.Long term, it will lead to more research and better coverage and attention to the stock. It also may be harder for the company to completely blow off the Street for not having conference calls, etc.
In the short term (like tomorrow), we should expect some record volume to happen, as well as a pop tomorrow. However, my anecdotal research shows me that the stock is often unaffected a week from now. I will not be joining the buying party in the short term (unless the stock goes through the roof) as I am planning a short strategy about 10 days from now prior to earnings. If the stock moves to $35 or some unrealistic number on this news, then the short may happen earlier.
No comments:
Post a Comment