TXU was highlighted in Peridot Capital's 2006 Select List as an undervalued gem in the midst of a very shareholder-friendly turnaround and it appears this proposed deal, unless it falls through at the last second, marks the end game for TXU investors.
Initially recommended at $50.19 per share about fourteen months ago, investors are set to book about a 40 percent return (excluding dividends) if the rumored $70 price tag is accurate. Congrats to everyone who held the stock up until now. I sold mine last year, but I'm still thrilled with these developments. If you would like to purchase a copy of our 2007 Select List, you may pick up the list of ten stocks for 2007 via PayPal.
TXU 1-yr chart
Disclosure: Author is short TXU.