This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Zoran, Mentor Graphics: Small-Cap Winners

NEW YORK ( TheStreet) -- Shares of Zoran (ZRAN) were soaring 14% to $10.62 Tuesday afternoon after British wireless-chip maker CSR said it will acquire the semiconductor company for $679 million in a stock-swap deal.

The deal represented a 40% premium to the company's closing price on Friday. CSR said it expected the deal to boost profit per share by 10%. Zoran shareholders will receive 1.85 CSR shares for every Zoran share owned.

Zoran's largest shareholder, Ramius has, however, said the deal undervalues the company. Ramius, which holds a 9.3% stake in the company, is calling for the replacement of six members of the board with its own candidates.

"We are suspicious that the announced merger with CSR may be yet another attempt by the current board of Zoran to usurp the will of the shareholders," Ramius said in a press release.

The stock of Mentor Graphics (MENT - Get Report) jumped 8% to $15.67 after activist investor Carl Icahn offered to buy the company for $17 per share. "We believe that our fellow shareholders should have the opportunity to accept our offer or a higher one, if one emerges as we think it will," Icahn wrote in a note to the company's board of directors, included in the filing.

The stock of Fonar (FONR - Get Report), manufacturer of MRI scanners, was seeing unusual activity Tuesday after it declared its fiscal second-quarter results. Shares were skyrocketing 68% to $2.26 on volume of 3.2 million. The average volume in the last three months has been about 120,000.

The company swung to a profit in the quarter ended Dec. 31, 2010, reporting a net income of $1.4 million, compared with a net loss of $1.3 million in the year-ago quarter. Total revenue for the second quarter of fiscal 2011 ended Dec. 31 was $8 million compared with $8.2 million for the same year-ago period.

The Nasdaq has threatened to delist the company for failure to comply with various listing requirements. Fonar has requested a hearing before the Nasdaq panel on Feb. 24.
1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
FONR $9.70 0.00%
MENT $25.67 0.00%
ODP $7.82 0.00%
AAPL $113.29 0.00%
FB $91.01 0.00%

Markets

Chart of I:DJI
DOW 16,643.01 -11.76 -0.07%
S&P 500 1,988.87 +1.21 0.06%
NASDAQ 4,828.3250 +15.6170 0.32%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs