What happened

Shares of GenMark Diagnostics (NASDAQ:GNMK) were soaring 34.8% higher as of 11:43 a.m. EST on Thursday. The big jump came after Bloomberg reported that the diagnostics company could be acquired.

So what

Bloomberg's report stated that GenMark has been contacted by multiple potential buyers. The company is said to have engaged a financial advisor to help it navigate acquisition discussions. GenMark hasn't made any public statements about the report at this point.

Woman drawing a picture on a wall of a big fish about to swallow a smaller fish

Image source: Getty Images.

Investors shouldn't buy the healthcare stock solely because of the possibility that it might be acquired. These kinds of stories often fizzle out. 

However, GenMark looks like a pretty good buyout target for a bigger diagnostics company. It wouldn't be surprising if Becton Dickinson, Thermo Fisher Scientific, or Roche is interested in acquiring GenMark. 

Now what

It's now a waiting game to see if a deal emerges. And if there is a deal, the details will be important. An offer price might not be much more than GenMark's current share price after its big move today. 

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.