- SPYBarrons.com•19 minutes ago
Reynolds American (RAI) topped the S&P 500 today after receiving a bid from British American Tobacco (BTI) that values the stodgy tobacco stock at $$56.50 a share. Shares of Reynolds American soared 14% to $53.78 today, while the S&P 500 finished little changed at 2,141.16. Cowen's Vivien Azer and Aaron Grey call the "multiple offered for Reynolds American quite compelling." They explain why: British American Tobacco is proposing to acquire the outstanding 58% of RAI that it does not already own.
- XLEBarrons.com•1 hour ago
Chesapeake Energy (CHK) held its first analyst day in two years yesterday--and it has many analysts feeling much better about the company than they were just a few days earlier. As we noted this morning, Nomura upgraded Chesapeake to Neutral from Reduce, while BofA Merrill Lynch raised its rating to Neutral from Underperform. Take, for example, Deutsche Bank's Josh Silverstein, who contends that the "path to recovery has improved visibility." He explains: Although challenges still lie ahead for Chesapeake Energy, our key takeaway from the analyst day was the appreciable progress made over the past few years and in particular, the financial overhaul in 2016 under a challenging commodity price environment.