NEW YORK (TheStreet) -- Shares of Synchronoss Technologies (SNCR) are gaining by 20.39% to $51.20 in pre-market trading on Wednesday morning, following reports that the company is exploring the possibility of a sale.
Synchronoss Technologies, a provider of cloud solutions and software-based activation for connected devices, is said to be working with the investment bank Qatalyst Partners on a possible sale, sources told The Wall Street Journal.
At the close of trading on Tuesday the company had a market cap of almost $1.8 billion, which could result in a takeover valued at over $2 billion, The Journal added, noting that a number of private equity firms have shown interest in an acquisition.
Separately, TheStreet Ratings team rates SYNCHRONOSS TECHNOLOGIES as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate SYNCHRONOSS TECHNOLOGIES (SNCR) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, impressive record of earnings per share growth, compelling growth in net income, good cash flow from operations and expanding profit margins. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook."