NEW YORK (TheStreet) -- Shares of Measurement Specialties Inc. (MEAS) are up 10.35% to $86.07 after TE Connectivity (TEL) announced late Wednesday it entered into a definitive agreement to acquire the sensor company for $1.7 billion, or about $86 per share in cash.
TE Connectivity said it expects the global sensor market will grow to $116 billion by 2019 from $80 billion this year.
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TE Connectivity, formerly known as Tyco Electronics, split from Tyco International Ltd (TYC) in 2007.
"We rate MEASUREMENT SPECIALTIES INC (MEAS) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its robust revenue growth, expanding profit margins, largely solid financial position with reasonable debt levels by most measures, good cash flow from operations and solid stock price performance. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity."
Highlights from the analysis by TheStreet Ratings Team goes as follows: