NXPI great company,,,,,needs a "get out of Jail" card to start moving up, this QCOM thang is starting to get ridiculous. JMHO
Hopefully Paul Singer at Elliot Management can get us the $120-$130 we deserve!!
I sold 2/3 of my shares in May and the rest this week. This is dead money until something happens with this failing deal. GLTA
QCOM rallied to around $68/share last year (2015), but has drifted and is now just above 52-week low -
I'm thinking that QCOM needs NXPI to push them to the next level and is willing to go a little higher than $110 - perhaps as high as $116
Hmm, looks like EU is throwing some hurdles to slow down the merger, what could be the impact for short term and long term?
Another month, another drop in tendered shares, and another extension. Come on QCOM, just raise the bid already...it's inevitable. I'm looking for $120
QCOM, please withdraw your offer and let our stock move up to its pier valuation of $125.
The trading setup for NXPI looks very enticing. google awe*some*stocks - they offer pretty good trade alerrts. you dont have to trade their tickers but it definetly helps you recognize possible patterns for stocks you're trading.
Let's assume for a minute that QCOM increases the bid. My question, is there any incentive to do that before the EU completes their investigation?
MS states Qcom will have to raise offer 5-10%. I think it will be 10% minimum to get investors to be happy with price. $120 to $125 is what most feels is barely fair value. I think QCOM will lose deal in next couple of months unless they come out with $120 number
Tender is down to 12.5% another 2% drop and down a lot from early days
so if QCOM stays at $110 then waiting makes no sense at todays value. If one has tendered already, how do you get out of it? Are we locked in ?
I am still not 100% sure what the purpose of the tender is. Someone mentioned before that the deal is done regardless of the result of the tender, but today's article seems to hint that qcom needs to get the tender requirement fulfilled if they want to get the deal done. Which one is it?
X axis : Stocks Price Correlation Coefficient Y axis : Quantity of stocks May-2016 1,000 Day Parameter 2,830 NASDAQ Stocks Price Analysis This stock mode of correlation coefficient is 0.9 In other words, the correlation coefficient of the other stock
NXPI is fully valued at $110, just ask any M/A experts. It looks like most of people making noise are amateur financial bloggers. All of them overlooked two very important facts :
1. Comparing NXPI to other semi-conductor companies is simply wrong. Most other semi-conductor companies referred to by the bloggers have no debts or low debt, while NXPI has $9 billion in debt, or about $26 per NXPI share. Qualcomm is paying off the debt. Including the debt payment, qualcomm is paying $136 ($110 + $26) per NXPI share. This is the reason the majority of NXPI shareholders voted in January to approve the deal. They knew it's a good deal for them. 2. NXPI has large exposure (~40%) in the highly cyclical automobile business, therefore, the P/E ratio needs to be adjusted accordingly. Most auto related companies have P/E in the single digit or low teens, even at the peak of an auto-cycle. Remember, we are now at the peak of an auto cycle.
The smart money(institution investors) understands this is a good deal and will go along with the deal by tendering their shares once all the regulatory approvals have been obtained, Those refusing to tender will be left behind and their shares will be forced tendered and subjected to 15% dutch tax.
How do you play this ? I am selling a bunch of NXPI Jan 2019 call option with strike of $110. The premium on these options have rocketed last week due to rumors of Qualcomm making higher NXPI bids, Not gonna happen, and it will be my money in the bank.
Can it go over the $110 price and if not when do you think/know when this deal will get over with and we receive the $110 per share....???????????
I'm watching the mkt now...NXPI is $109.30...so what's the benefit of holding to get only $110 in several months vs. $109.30...if anybody knows. One person said the price cannot go over $110...others seem to indicate it can...I don't know which one is right... I would say that QCOM may raise the price to a higher number $115...only to get most shares tendered....does this sound correct. I'm no expert by any means....just curious.....
So here's my take. Even if it goes over $110, you have to ask yourself how long are you willing to hold out for these minimal gains, while you're missing out on gains by investing elsewhere. I sold half my position on 3/8 and the rest on 3/21 for a net gain of 11.3%. I reinvested in MU, DAL, TSO. I'm up 27.7% now.
options seem to be implying the offer will be raised to 115, and as has been suggested in the media it probably worth more then that on its own. So bit of a no brainer here, i would stay long.