4 ms·
If true isn't that alone a pretty strong signal? That would mean a shrinking possibility of an already bungled acquisition going through is better than the sta
by cactus2093 4y ago
If true isn't that alone a pretty strong signal?
That would mean a shrinking possibility of an already bungled acquisition going through is better than the status quo. Seems like Musk has kind of done Twitter a favor by shaking things up. Regardless of the acquisition, it has become clear that the market thinks there is a lot of potential here that's being wasted.
- karpierz 4y agoThe market isn't pricing whether Elon will improve Twitter. The market is pricing in the fact that if the acquisition goes through, each stock you hold gets converted into 52.40$, regardless of what happens to Twitter after it's acquired.
- game-of-throws 4y agoThe market just thinks there's a chance he'll be forced into paying more than the company is worth. It needn't have anything to do with the company's potential. If I made a credible $100B offer for the Campbell Soup company and waived due diligence, the stock price would shoot up, but it's not because they're wasting their potential.
- initplus 4y agoThe only thing it's a signal of is that $54.20 is much higher than the "true" stock price.
- paxys 4y ago> That would mean a shrinking possibility of an already bungled acquisition going through is better than the status quo It is objectively better for investors because they get $54.20 a share instead of the current ~$34. It isn't a signal for anything else. Shareholders don't care what happens to Twitter as a company after that, because they have already sold their shares.