Should I Do It? Run DTV

The worst-kept secret on Wall Street these days is that DirecTV(DTV Quote) is being offered up as "trade bait" in an asset swap that should be announced shortly between News Corp.(NWS Quote) and Liberty Media (LBTYA Quote).

DirecTV is the largest satellite television provider, with about 15.7 million customers, or 3 million more than competitor EchoStar(DISH Quote). While no official announcements have been made, it's widely believed that News Corp. will swap its 38% stake in DirecTV, plus $550 million of cash and three sports networks, for Liberty's 19% stake in News Corp. voting shares.

The renewed market interest in DirecTV has helped sustain a rally at the satellite TV operator all year long. At Tuesday's closing price of $25.01, the stock is up 14% over the past month as well as 77% year to date -- currently trading at its highest level since 2001.

With that in mind, I'm here to answer investors' questions: Should I do it? Is DirecTV a good buy at current levels, or are the shares already in the stratosphere?

DirecTV was upgraded by two analysts Monday. While the note issued by Janco Partners analyst Matthew Harrigan largely centered around the swap between News Corp. and Liberty Media, Doug Mitchelson of Deutsche Bank said the stock has enough strength on its own to move up toward $30 over the next year.