4 Undervalued Takeover Targets For Consideration
By Rougemont:
Many corporations have huge amounts of cash sitting on the balance sheet, and that money is earning close to nothing in this low interest rate environment. The U.S. Federal Reserve recently affirmed it would continue with a low-rate policy in order to help boost the economy until at least 2012. We know that investors and savers have been hurt by low rates and it has forced many of them into high-yielding dividend stocks. Corporations are not as easily able to invest cash assets into the stock market due to the risks of losses and the appearance of becoming more of a mutual fund than a focused company.
Companies like Apple (AAPL) have nearly $100 billion sitting on the balance sheet and management needs to find ways to create shareholder value with it. Companies can buy back stock, or pay a special dividend, but sometimes the best solution is to buy
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