Hi smalls_62, what you said makes a lot of sense. Thanks for pointing out the obvious (at least to you and me). ;-)
The only few people that will continue to elect satellite TV options are those people living outside of civilization, without broadband options... DTV is a poor investment here, and AT&T is buying a horse and buggy business, right before the model T rolls off the assembly line.
DIRECTV shareholders will receive $95.00 per share under the terms of the merger, comprised of $28.50 per share in cash and $66.50 per share in AT&T stock. The cash will be treated as ordinary income to DTV shareholders. All in all, no upside, dead money henceforth for DTV shareholders..
Once they start the mass layoffs, the positive synergy will be directed at AT&T shareholders. DirecTV employees need to be actively looking for new jobs. Their days are numbered. Take that to the bank.
Costco is a decent company but its stock has gotten too rich; a big pull back is due. It's a decent company, but don't fall in love with it. Labor costs are increasing rapidly, margins are tight, and net income is flat for multiple year; hence the obtuse share price.
All in all, a good company doesn't mean its very profitable, or makes a good investment.