Why Do You Still Own MAKO Surgical?

Thanks to a $30 per share acquisition offer from Stryker Corporation  (NYSE: SYK  ) in September, shares of MAKO Surgical (UNKNOWN: MAKO.DL  ) are unsurprisingly trading near 52-week-highs.

To be sure, that's great for anyone who bought MAKO Surgical over the past year before the announcement. But unless you're waiting to sell to take advantage of lower long-term capital gains taxes, it doesn't look like a great idea to continue holding your shares at this point, says Fool contributor Steve Symington in the following video.

To understand why, and to hear some good alternatives for putting your hard-earned money back to work, check out the video below to get Steve's full take.

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Read/Post Comments (4) | Recommend This Article (5)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On November 23, 2013, at 12:27 AM, lache02 wrote:

    So, the writer would replace one loser with another.

    —Mako>IRBT. MF hyped Mako in 2012. Now, the writer is silent about the hype when it was trading at $33 per share (at the time MF was high on MAKO). Those that bought at $33 aren't too pleased at a sellout at $30 per share. Good thing Stryker came along at $30 or people would have lost their shirts. IRBT'S FCF sucks! Stryker appears to have its own problems, making it risky at this time.

    IRBT'S P/S AND P/B are also out of line. I think this a very risky stock.

  • Report this Comment On November 23, 2013, at 3:34 PM, 99888 wrote:

    Hi Steve, thanks for your article. As you stated, I have not sold my MAKO stock due to capital gain issues. I bought some MAKO stocks on 1/4/13 and then some in 4/8/13. Do you know when the sale will be finalize and the $30 per share will be realized and paid? I am hoping it will be after 1/4/14 so that I can get long term capital gain for those stocks purchased on 1/4/13. As to the stocks I purchased on 4/8/13, I guess I should probably sell them now since there is no way that the final payout will be after 4/8/14. What do you think? Thanks.

  • Report this Comment On November 27, 2013, at 11:18 AM, TMFSymington wrote:

    @lache02: I can't speak for all of our individual contributors but, if you take a look at our premium RuleBreakers service, you'd see their official recommendations tell a different story.

    What's more, I've already written about how I was "torn" over the acquisition (see http://www.fool.com/investing/general/2013/09/25/why-im-torn....

    Also, make no mistake: I'm not saying IRBT is a "cheap" stock, so to speak...in fact, it seldom looks underpriced as judged by traditional metrics, but that's primarily thanks to its stellar growth potential as it continues to expand its global presence. Think what you will, but I'm happy to hold shares of iRobot over the long-term.

    @99888: Remember we can't give out individualized investment advice, but considering shareholders are still set to vote on the acquisition on December 13, I'd be surprised if it was finalized over the following few weeks.

    In any case, congrats! Trying to figure out how to handle taxes on your profits is an enviable problem to have.

    Fool on,

    Steve

  • Report this Comment On November 29, 2013, at 11:20 AM, 99888 wrote:

    Great. Thanks.

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