10x would be $39ish. With the acquisition of US Foods that would be $48ish. Ebitda would make this even higher. Around $42 and $53, respectively. Check your math. This is an easy buy right now. Not to mention we have a +3% dividend. This shot up to $43 on the announcement of US Foods. When more news comes out regarding that acquisition, this rises back to that level or higher. Don't get caught shorting when that happens!
Only an idiot who doesn't know the deal structure would think this deal isn't going through.
Come earnings, this will rocket back above the price hit on acquisition announcement day. Management will reassure #$%$ investors that the acquisition will go through and that there's no way in hell they would risk taking a $300 mm breakup fee. Everyone will get excited again and we pop. ll buy your shares on the cheap :)
Everyone is selling their shares on the cheap right into the hands of hedge funds. Companies don't announce an acquisition unless its going to go through. Example, AMR and US Airways. You really think that Sysco would allow this acquisition to fall through and take a $300 million breakup fee? Time to load up the boat. Been buying on all the dips. $41.25 by year end! Im calling it now.
Sentiment: Strong Buy