M&A Rumors: Why MEET Stock Is Moving 5% Higher Today

Recent M&A rumors claim that Meet Group (NASDAQ:MEET) may be looking to sell its business to a German broadcasting company.

M&A Rumors: Why MEET Stock Is Moving 5% Higher Today

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These M&R rumors say that NuCom Group, the e-commerce division of ProSiebenSat.1 Media SE, has an interest in acquiring the company. However, the sources behind this rumor say talks are still early and may not result in a deal.

An acquisition may be in the best interest of Meet Group. The dating service hasn’t been able to stand up to its larger rival Match Group (NASDAQ:MTCH). However, it’s live streaming offerings could be of use to the German broadcasting company, reports Reuters.

While the unnamed sources don’t reveal any finer details about the M&A rumors, there are already estimates about the price that Meet Group may be bought for. Darren Aftahi, a Roth analyst, believes that an offer for MEET stock may come in at $7 to $8 per share.

Friday’s closing price for MEET stock was $5.06. This implies an offer for the stock would be a roughly 38% to 58% premium over that price. That’s not bad compared to Roth’s current price target of $6.50 per share for MEET stock. The firm also has a “Buy” rating for the stock, Seeking Alpha notes.

MEET stock was up 5.34% when the markets closed on Monday. It’s currently unmoved in after-hours trading. The stock is also up 7.20% since the start of the year.

As of this writing, William White did not hold a position in any of the aforementioned securities.

Article printed from InvestorPlace Media, https://investorplace.com/2019/12/ma-rumors-boost-meet-stock/.

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