M&A Mania Continues to Heat Up

by Louis Navellier | August 15, 2012 10:00 am

We’ve had a flurry of activity in the last several days—no surprise considering that corporations are awash with cash, and they are looking for a smart way to reinvest this money. Some corporations are using that cash to buy back their stock, while others are hiking up their dividend payments.

I’m a big fan of each of these strategies. They benefit the individual investor and my palms itch in anticipation of the impact on earnings and the profits that come from it. But there’s another very reasonable use for this cash that is becoming very popular right now and is making big splashes in the headlines—mergers and acquisitions.

Take a look at some of the latest deals hitting the market:

When you own a stock that is involved in a merger or acquisition — or even if your stock has rumors of M&A activity — it can feel like winning the lottery. However, although these companies are high in the headlines now, that doesn’t mean that all these stocks should have been purchased prior to their M&A activity.

In fact, only three of these companies pass my high standards—find out which three by visiting my Portfolio Grader tool[8].

  1. FSII: http://studio-5.financialcontent.com/investplace/quote?Symbol=FSII
  2. PVSW: http://studio-5.financialcontent.com/investplace/quote?Symbol=PVSW
  3. FMCN: http://studio-5.financialcontent.com/investplace/quote?Symbol=FMCN
  4. CG: http://studio-5.financialcontent.com/investplace/quote?Symbol=CG
  5. TSO: http://studio-5.financialcontent.com/investplace/quote?Symbol=TSO
  6. BP: http://studio-5.financialcontent.com/investplace/quote?Symbol=BP
  7. LCC: http://studio-5.financialcontent.com/investplace/quote?Symbol=LCC
  8. Portfolio Grader tool: http://navelliergrowth.investorplace.com/portfolio-grader/

Source URL: http://investorplace.com/2012/08/mampa-mania-continues-to-heat-up-lcc-bp-tso-cg-fmcn-pvsw-fsii/
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