Plus: Two more companies exploring M&A deals
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LEAD STORY
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SAP offered $66 a share. The stock trades at $30.
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Most investors wait for the news. The smart ones try to get there first. When
a company gets acquired, the stock usually jumps 20%, 30%, sometimes 50%
overnight. But there’s a window where a deal is already in motion and the stock
still trades below what the situation could be worth. That window is where M&A
investors live. Before tonight’s three names, here’s the discipline I run on
every deal situation, and I want you running it too. Three numbers, every time:
What do I make if it works? Not the headline number, the real payoff after you
account for how you’re actually being paid and how long your money is parked.
What do I lose if it breaks? Every pending deal has an “unaffected price” where
the stock traded before deal hopes were priced in. That’s your gravity. Know it
before you buy, not after. What has to happen in between? Shareholder votes,
regulators, financing conditions, walk-away triggers. Each one is a door the
deal has to walk through. Count the doors. Tonight: a signed…
READ FULL ARTICLE →
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FEATURED ANALYSIS
SAP offered $66 a share. The stock trades at $30.
<[link removed]>
Most investors wait for the news. The smart ones try to get there first. When
a company gets acquired, the stock usually jumps 20%, 30%, sometimes 50%
overnight. But there’s a window where a deal is already in motion and the stock
still trades below what the situation could be worth. That window is where M&A
investors live. Before tonight’s three names, here’s the discipline I run on
every deal situation, and I want you running it too. Three numbers, every time:
What do I make if it works? Not…
READ FULL ARTICLE →
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