A Fortune article mentioned SWKS is buying scale which makes sense since this has been a constant refrain on conference calls and releases--one-stop shopping. Scale is evidently needed to get one's foot in the door.
Synergies, the way I see it, is the ability of both companies to leverage their respective strengths through better scale.
Diversification is another plus, but too much diversification could cause distractions. It will be interesting to see how Aldrich handles it.
At first I asked myself why SWKS did not offer some of their own stock in the deal, but realized they will still be in good standing with their healthy cash flow, and what the H, might as well take advantage of almost free money out there.
is what I call the acquisition. You either have faith in Aldrich or sell because of the slightly larger element of the unknown. I've said before that this is probably the best-run company I've ever come across and I look forward to a more dynamic future. We sure are not going to be left stuck in the mud years down the road as some RF-only stale company. We might become a power house.
"Shot-term trades"? Therein lies your problem. The market is confused and volatility reigns supreme. No rhyme or reason. I make it a point to own a good share of well-paying dividend stocks to ride things out if needed.
However, I'm still looking for that day of true surrender, capitulation, throw in the towel, never buy stocks again.
Or.....if the SPY stays on this continuation trend and has a favorable outcome eventually with the 20 and 50 dma-- with lower volatility-- then I will deem it a change in trend and start buying.
There seems to be a lot of wells that are drilled but not in production---this from a Bloomberg article--they termed it a "fraclog"". This keeps me from buying this issue. Wait for the 2s.
Any thoughts about if the move toward robotic-like autos will affect SWKS et. al.? A lot of large companies are throwing their hat into the ring, the latest being GM. I viewed it as a fantasy when Google was dabbling, but not so much any more. It seems like a lot of talking between sensors (things......internet of things) would be involved......
Dividend seeker, I really do respect your investing acumen and style. Perhaps it would help if you sometimes couched your recommendations with a few caveats thrown around once in awhile. Just once in awhile will do.....help to cover your #$%$ as far as your standing among different message boards.
I'm retired and probably have to be more acutely aware of overall market valuations.
As testament to your acumen, I did a very, very small investment in HZNP at 18, not knowing squat about it except it being mentioned on this board and the Yahoo profile mentioning their drugs for rheumatoid arthritis. My mother suffered greatly from this disease and also the side effects of different drugs.
That 1820 got my attention because I just looked at the P&F chart with price and volume component and support appears evident at this number. The daily SPY chart is looking like some penny stock with all the gaps.
Actually it's somewhat a test of previous lows--not totally unusual.
Greed works on the way down also. Re- entry is difficult for this reason, always looking for a lower entry point. The previous poster mentioned looking at XOM, well it almost pays you 5% for waiting.
QRVO probably on a run because it was knocked down about 20% more than SWKS. QRVO was short of estimates last qtr, but still gowing at a good clip and if I extrapolate Yahoo next 12 mos earnings and deduct about 25% for stock compensation I get roughly a 14-15 multiple on 5/ shr forward earnings. This roughly reflects today's pricing. Anyway that's my back-of-the- envelope figuring. Qrvo likely overshot on the downside.
I like the SPY at this level because I feel that at it's highs it was overvalued by 7-8%. Any stocks will have to prove their mettle on both sales and earnings. Forget the rising tide......I see a stock pickers market coming for anything with real merit.
I sensed a no-nonsense atmosphere among employees in March of last year and bought at 25. I kind of got tangled up in the high 30s recently because I was betting on a breakout. But, the bottom line is the turnaround is palpable during a store visit.
I was rather impressed, especially since business investment contributed. It's been somewhat of a laggard.
The late 90s market surge was mostly fueled by business investment and we saw a doubling of the nasdaq in a year. It was rather unique though, with things like the y2k panic.
At some point the market is going to fall into the category of technically oversold and be ripe for a reaction high. We are either at the point right now or one more significant downdraft will do it. One more downdraft will bring true capitulation and might call for buying with both fists.
Best Buy had a good quarter and make specific mention of how well the smart watch is doing and how they will make an extra effort to get it in all stores and develop a closer relationship with Apple.
My point is that the smart watch is also tied into internet of things......I would presume?