This Day On The Street
Continue to site right-arrow
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
TheStreet Open House

Is AstraZeneca Worth More Than $106B? Doubtful: StockTwits

NEW YORK (TheStreet) -- AstraZeneca  (AZN - Get Report) thinks its worth more than $106 billion. But many investors on don't agree. And they say AstraZeneca's quick rejection of Pfizer's (PFE - Get Report) sweetened offer for the company could kill chances of a deal.

Not seen it yet, but expecting the headline 'is AstraZeneca deal about to pfizzle away?' $PFE $STUDY -- Tony Parker (@toknees) May. 2 at 07:40 AM

Shares of the pharmaceutical company opened half-a-percent lower Friday after management rejected Pfizer's improved $84.47-per-share bid for the company.

In a press release this morning, AstraZeneca Chairman Leif Johansson said that the deal, worth just over $106 billion, undervalues the company's drug pipeline.

"As such, the Board has no hesitation in rejecting the Proposal," Leif said.

Investors are concerned that Pfizer will drop its pursuit of the company rather than return with a higher offer. The new $84-per-share offer is 10% higher than Pfizer's prior $76.62 offer.

$AZN says not to $PFE. $AZN shareholders could take a beating if $PFE walks away. Will they? Or go hostile? -- Shiv Kapoor (@shiv139) May. 2 at 08:49 AM

Should Pfizer drop its acquisition bid, many investors who purchased AstraZeneca shares in anticipation of a deal would be left with stock trading at a higher multiple than the market was willing to support sans acquirer interest. AstraZeneca shares are up 18% since Pfizer confirmed its renewed pursuit of the company last week.

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
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

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
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
AZN $68.52 -2.20%
PFE $34.95 1.20%
AAPL $126.01 2.20%
FB $82.91 -0.47%
GOOG $549.36 0.19%


DOW 17,919.46 -56.85 -0.32%
S&P 500 2,086.24 +25.22 1.22%
NASDAQ 4,947.4410 +56.2220 1.15%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs