Dougherty & Co Downgrades AuthenTec (AUTH) to Neutral; Will There Be A Higher Bid Than $8/share?
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Price: $8.01 --0%
Rating Summary:
2 Buy, 2 Hold, 0 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 12 | Down: 19 | New: 21
Rating Summary:
2 Buy, 2 Hold, 0 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 12 | Down: 19 | New: 21
Trade AUTH Now!
Dougherty & Co downgraded AuthenTec (NASDAQ: AUTH) from Buy to Neutral with a price target of $8.00 (from $6.00).
Analyst, Charlie Anderson, said, "Apple (Nasdaq: AAPL)(not covered) will acquire AuthenTec for $8 per share in cash, according to an agreement filed Friday with the SEC. Excluding AUTH’s $19.5MM of net cash, the deal will cost Apple roughly $350MM or 3.8x our FY13 sales estimate of $91MM."
"Will there be a higher bid than $8/share? We have no idea what kind of process AUTH ran, so it would only be guessing as to whether or not Apple’s rivals (Samsung, Google (Nasdaq: GOOG) and Amazon (Nasdaq: AMZN) top the list) already had a chance to bid. We do believe AUTH would have equivalent strategic value to all three. Samsung has recently become an important customer of AUTH’s (both for fingerprint sensors and the VPN client) and Google would have visibility via its acquisition of Motorola Mobility (also a fingerprint sensor and VPN customer)."
For an analyst ratings summary and ratings history on AuthenTec click here. For more ratings news on AuthenTec click here.
Shares of AuthenTec closed at $8.42 yesterday, with a 52 week range of $2.23-$8.83.
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Analyst, Charlie Anderson, said, "Apple (Nasdaq: AAPL)(not covered) will acquire AuthenTec for $8 per share in cash, according to an agreement filed Friday with the SEC. Excluding AUTH’s $19.5MM of net cash, the deal will cost Apple roughly $350MM or 3.8x our FY13 sales estimate of $91MM."
"Will there be a higher bid than $8/share? We have no idea what kind of process AUTH ran, so it would only be guessing as to whether or not Apple’s rivals (Samsung, Google (Nasdaq: GOOG) and Amazon (Nasdaq: AMZN) top the list) already had a chance to bid. We do believe AUTH would have equivalent strategic value to all three. Samsung has recently become an important customer of AUTH’s (both for fingerprint sensors and the VPN client) and Google would have visibility via its acquisition of Motorola Mobility (also a fingerprint sensor and VPN customer)."
For an analyst ratings summary and ratings history on AuthenTec click here. For more ratings news on AuthenTec click here.
Shares of AuthenTec closed at $8.42 yesterday, with a 52 week range of $2.23-$8.83.
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