In this video from Tuesday's Investor Beat, host Chris Hill and Motley Fool analysts Dave Meier and Mike Olsen dig into the biggest investing stories on the market today.
Time Warner Cable has rejected a third buyout offer from Charter Communications, calling the bid "grossly inadequate." Charter offered $132.50 per share, but Time Warner is looking for $160. Mike and Dave discuss the real value of Time Warner today and the strength of the business at the moment, and just what might happen to the company if the acquisition does or does not take place. Mike also gives one somewhat hidden way for investors to play this acquisition story.
Then the guys discuss four stocks making moves on the market today. Google is on the rise after the company agreed to buy Nest Labs for $3.2 billion. Fourth-quarter results for JPMorgan Chase were kind of a mixed bag, with the top and bottom line coming in better than expected, even though earnings fell more than 7%. Intuitive Surgical rose after the company said it anticipates fourth-quarter revenue to be higher than Wall Street had previously thought. And GameStop dropped like a stone today after updating its earnings estimate for the holiday quarter; sales of new software fell by 23%.
And finally, Dave discusses why Tesla Motors' report of higher production numbers than expected could be part of the bigger trend that supply will be able to catch up to the incredible demand for the Model S, while Mike looks at Sirius XM, and why it just may be another way to play the Time Warner Cable acquisition story.
Is this really the end of cable?
You know cable's going away. But do you know how to profit? There's $2.2 trillion out there to be had. Currently, cable grabs a big piece of it. That won't last. And when cable falters, three companies are poised to benefit. Click here for their names. Hint: They're not Netflix, Google, and Apple.
Chris Hill and Michael Olsen, CFA, have no position in any stocks mentioned. David Meier owns shares of Apple. The Motley Fool recommends Apple, Google, Intuitive Surgical, Netflix, and Tesla Motors and owns shares of Apple, GameStop, Google, Intuitive Surgical, JPMorgan Chase, Netflix, Sirius XM Radio, and Tesla Motors. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.