Analyst on InterDigital (IDCC): Samsung 'Thinks IDCC is Getting Too Expensive'
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Price: $99.66 +0.74%
Rating Summary:
7 Buy, 3 Hold, 1 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 13 | Down: 11 | New: 14
Rating Summary:
7 Buy, 3 Hold, 1 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 13 | Down: 11 | New: 14
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M Partner's Ron Shuttleworth issued an intraday research note Friday discussing recent momo stock InterDigital (Nasdaq: IDCC).
Following a more than 50 percent surge in InterDigital shares since mid July on buyout rumors, Shuttleworth notes indications from "Korean media that Samsung has announced that it is not interested in bidding for the InterDigital patents." Samsung believes these patent plays have "become too costly after the Apple (Nasdaq: AAPL) consortium won the Nortel auction."
Shuttleworth's sources suggest Samsung will be watching InterDigital closely "as the outcome could have an even bigger impact than Google's offer to acquire Motorola." The analyst argues the Samsung reports indicate several items: 1. Samsung believes the IDCC patents are "pretty important" and 2. the company "could get expensive."
Shuttleworth believes "multiple bidders remain..." including Apple, Qualcomm (Nasdaq: QCOM), Intel (Nasdaq: INTC), Google (Nasdaq: GOOG), Nokia (NYSE: NOK), Microsoft (Nasdaq: MSFT), RIM (Nasdaq: RIMM), Ericsson (Nasdaq: ERIC) and several others. With a $118 price target, the analyst is obviously still very bullish on the stock.
The firm currently values InterDigital at around $65.50 fundamentally.
M Partners reiterates a Buy rating on shares of InterDigital.
Following a more than 50 percent surge in InterDigital shares since mid July on buyout rumors, Shuttleworth notes indications from "Korean media that Samsung has announced that it is not interested in bidding for the InterDigital patents." Samsung believes these patent plays have "become too costly after the Apple (Nasdaq: AAPL) consortium won the Nortel auction."
Shuttleworth's sources suggest Samsung will be watching InterDigital closely "as the outcome could have an even bigger impact than Google's offer to acquire Motorola." The analyst argues the Samsung reports indicate several items: 1. Samsung believes the IDCC patents are "pretty important" and 2. the company "could get expensive."
Shuttleworth believes "multiple bidders remain..." including Apple, Qualcomm (Nasdaq: QCOM), Intel (Nasdaq: INTC), Google (Nasdaq: GOOG), Nokia (NYSE: NOK), Microsoft (Nasdaq: MSFT), RIM (Nasdaq: RIMM), Ericsson (Nasdaq: ERIC) and several others. With a $118 price target, the analyst is obviously still very bullish on the stock.
The firm currently values InterDigital at around $65.50 fundamentally.
M Partners reiterates a Buy rating on shares of InterDigital.
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