With all the spinoff excitement, Forbes looks ahead at the next brands that might be granted independence by their corporate overlords. Ebay(EBAY)’s StubHub. StubHub dominates live event ticket reselling. On the heels of a successful spinoff of PayPal, perhaps Ebay will go back to the well and spin off StubHub. Time Warner(TWX)’s HBO. Time Warner is no stranger… Read More »
Amidst this great Summer Of Spin, what are the best prospects? According to Forbes’ Antoine Gara, who has also noted the flurry of spinoffs: PayPal and Baxalta(BXLT). About PayPal: PayPal is a leader in online payments, with high margins and strong revenue growth. It could prove valuable to tech giants like Google, Apple, Microsoftand Facebook, who are all toying… Read More »
Investing in spinoffs is certainly becoming more ‘mainstream’. As proof, Forbes’ most recent issue had a long writeup on the space titled ‘Why Spinoff Stocks Are Sizzling (And Should Stay Hot)‘. The piece is worth checking out and discusses the usual spinoff investment stuff – elimination of the conglomerate discount, corporate discard, ignored by market etc. – along… Read More »
Long time stock columnist Gene Marcial(now of Forbes) thinks McGraw-Hill(MHP) is “the new and potentially robust growth- and-value stock play, as it gets closer to splitting up into two companies“. Marcial says that the stock , which has risen from $34 last August to over $49, may have more room to go up in the next year. Some bulls… Read More »
M&A gets a lot of attention, but many have questioned whether or not it delivers the expected returns to shareholders. Often this is a result of paying too much. While the data on spinoffs is pretty favorable (we might be a bit biased here), the transaction can have some consequences. For example, if the parent company doesn’t retain… Read More »