Monday – Merger Mania Continues

It’s another busy Monday for M&A activity.

SNY announced a $18.5Bn CASH offer for GENZ($69/share), INTC buy’s INNNY’s wireless unit for $1.4Bn in CASH and DELL and HPQ are still in a bidding war over PAR (and HPQ thinks their own shares are so cheap they are buying back $10Bn worth of them).  The biggest winner in this weekend’s acquisition game is – ME!  I live in northern NJ and, with the merger of CAL and UAUA going through, Continental is forced to diffuse some of their concentration at Newark airport and that ends up giving LUV 18 slots, bringing some much-needed additional competition to Newark, which has been pretty much dominated by Continental for years. LUV is a great buy at $11.13 and a fun way to play is the Jan $10/11 bull call spread at .60, selling the Jan $10 puts for .55, which is net .05 on the $1 spread with a 1,900% upside and your worst-case scenario is you own LUV at net $10.05 – what’s not to LUV?

Speaking of diffused concentration, the Glenn Beck rally was a bit of a disappointment with just 87,000 people showing up (Fox had a permit for 300,000 and keeps using that number as if that’s how many came while Beck himself has been claiming between 300,000 and 650,000 were there and Michele Backmann (R-Minn) claims it was the biggest rally ever held in Washington, with no fewer than 1M people in attendance).  This has now backfired on Beck, Palin and the Tea Party as a “show of strength” becomes a show of apathy (to the people who can count, anyway) – it probably would have been smarter to hold the rally next weekend but Fox wanted to time the rally for the start of Jon Stewart’s vacation, although it didn’t stop him from commenting in absentia (where I hear Jon has a lovely bungalow).  For a more “fair and balanced” view of the rally, see the very nice coverage from Reason TV.

During an interview on “Fox News Sunday,” which was filmed after Saturday’s rally, Beck claimed that Obamais a guy who understands the world through liberation theology, which is oppressor-and-victim – People aren’t recognizing his version of Christianity,” Beck added.  Beck’s attacks represent a continuing attempt to characterize Obama as a radical, an approach that has prompted anxiety among some Republicans, who worry that Beck’s rhetoric could backfire. The White House has all but ignored his accusations, but…

….ahhhhh end of the free article! Uncle Phil doesn’t let me post the entire article for free! Fortunately for you, I’m his nephew and can get you a special discount on his site! Just follow this link:

http://philstockworld.com/membership/signup.php?affiliate_special_signup=1&coupon_or_referrer=jad714

You see that link there? I earn commission for everyone who signs up and YOU get a discount. Want to be on the commission side of that deal? My Uncle has me signed up under the affiliate program and wants more people to do it as well. If you would like to refer people and earn commission, please e-mail me at jad714 at aol.com (******@aol.com). It doesn’t cost you a single penny and all it takes to earn money is to refer people using your personal link.

Advertisements

About jad714

I'm 17 and freshly entering the world of stocks! I'm using my Uncle's website at www.philstockworld.com to get my information. His articles are fascinating!
This entry was posted in Uncategorized. Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s