Posted under Franklin Electronic Publishers (FEP): ----- Rumor is Franklin has been sold to Hewlett Packard, to be announced by the end of this month, for between $18 & $21 per share. The deal was handled by Goldman Sachs. ----- any ideas?
HWP splits their stock at $4.25 earnings per share.
This correlates better than $100.00 share price.
earnings are $2.94 (ttm) now and will hve to increase by 45%, not hard for HWP to do.
But, remember, HWP usually goes up in spurts , after new products (PA-RISC, for instance) or, just before a recession ends. Curious, huh? but look at the chart overlaid by recession (Value Line) and this is easily seen.
split_seeker asked about the annual HWP annual meeting proposal about a "stock split." The proposal was not explicitly about splitting the stock, but rather about increasing the number of authorized shares, contingent upon the passage of the reincorporation in Delaware proposal.
The reasoning is that under CA law, the board of directors could increase the number of authorized shares when the did a stock split. In DE, the shareholders must approve the increase in shares, then the board can authorize a split. So the proposal would make it possible to do a split, but would not immediately cause that split to happen.
I don't know the results of any of the annual meeting proposals. There will probably be an announcement within a few days.