The stock began to rise following a report by the New York Post suggesting AT&T (T) has come to terms with the federal government, and is now on its way to purchasing the satellite TV supplier.
So far, 4.58 million shares of DirecTV exchanged hands as compared to its average daily volume of 3.18 million shares.
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AT&T has reportedly worked out its plan for purchasing DirecTV with the Department of Justice, sources told the Post, but terms and conditions of the agreement have not been released.
Since AT&T and the DOJ were able to come to an agreement, the Post reports the merger will likely be cleared by the DOJ in October.
Separately, TheStreet Ratings team rates DIRECTV as a Hold with a ratings score of C+. TheStreet Ratings Team has this to say about their recommendation:
"We rate DIRECTV (DTV) a HOLD. The primary factors that have impacted our rating are mixed some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its solid stock price performance, growth in earnings per share and increase in net income. However, as a counter to these strengths, we find that we feel that the company's cash flow from its operations has been weak overall."