In this example, I'm referring to Palo Alto (PANW) and Cisco (CSCO)
Palo Alto recently had a pretty rough earnings report, to the point that their share price took a pretty hard drop at the beginning of the month. It's still sitting around $115 dollars a share with a market cap of 10.6B.
What would happen if a behemoth like Cisco purchased Palo Alto? Their share price is only around $34 dollars.
Would the price of Palo Alto shares drop as a result?
I've considered investing in PANW simply because they will either pull out of the rut that they are in, or will get bought out by Cisco. (A rare possibility) I just don't know what would happen if Cisco bought them out.
Submitted March 10, 2017 at 10:03AM by Rubber_Duckie_ http://ift.tt/2mJg9gs