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

5 Stocks to Keep on Your M&A Deal Radar in April

MetroPCS

Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player

Our final drama-filled deal to watch comes from MetroPCS (PCS), the mid-cap mobile phone carrier that specializes in prepaid plans in major metropolitan areas across the U.S. In October, T-Mobile announced a merger deal that would combine the Deutche Telecom subsidiary and PCS into a single business -- not long after the failed merger attempt between T-Mobile and AT&T (T) fell through.

MetroPCS spent the last several years in growth mode, buoyed by consumers' resistance to high-cost post-paid plans. For more than a few reasons, PCS offered a very appealing acquisition target to larger carriers (in fact, PCS was a position that I recommended to my firm's clients as a buy last summer for those very reasons -- we sold out in the mid $11 range a month before the merger, though). In the case of T-Mobile, that attractiveness of MetroPCS could be the deal's undoing.

PCS' biggest shareholders have been balking at the deal, specifically the 74% control of the combined firm that Deutsche Telecom gets after the deal closes. The relatively limited arena of potential suitors does pose a problem, but I think that more value could certainly get unlocked from this deal in 2013.

To see these M&A plays in action, check out the M&A portfolio on Stockpickr.



-- Written by Jonas Elmerraji in Baltimore.

RELATED LINKS:



Follow Stockpickr on Twitter and become a fan on Facebook.

At the time of publication, author had no positions in stocks mentioned.

Jonas Elmerraji, CMT, is a senior market analyst at Agora Financial in Baltimore and a contributor to
TheStreet . Before that, he managed a portfolio of stocks for an investment advisory returned 15% in 2008. He has been featured in Forbes , Investor's Business Daily , and on CNBC.com. Jonas holds a degree in financial economics from UMBC and the Chartered Market Technician designation.
6 of 6

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

Check Out Our Best Services for Investors

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
BRY $0.00 0.00%
PCS $11.84 0.00%
DELL $0.00 0.00%
CWH $25.47 -0.12%
WMS $27.86 0.00%

Markets

Chart of I:DJI
DOW 17,598.20 -91.66 -0.52%
S&P 500 2,098.04 -5.80 -0.28%
NASDAQ 5,115.3820 -12.8990 -0.25%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs