Computer maker Gateway Inc. said Tuesday it hadn't discussed acquisition with Taiwan's PC giant Acer Inc. A Gateway spokesman said that while the company doesn't normally comment on rumors, it is not in talks with Acer. Acer Inc. CEO J. T. Wang said recently his company was "hoping to make an acquisition this year," which ThinkEquity analysts said in a note Monday meant Gateway. The speculation sent Gateway shares up 6.7%. In trading yesterday, shares fell 0.8%, and shed another 4.20% in after-hours trading to $2.28, dropping back close to pre-rumor share prices. In its statement, Gateway said it remains "focused on the business at hand."
Sources: MarketWatch, Reuters
Commentary: Report: Gateway May Be Acer Target - Shares Climb • Consumer PCs: HP and Gateway are Hot, Dell is Not • Conflicting Calls On PC Sector: Sell Dell, Buy Gateway
Stocks/ETFs to watch: Gateway Inc. (GTW). Competitors: Dell Inc. (NASDAQ:DELL), Hewlett-Packard Co. (NYSE:HPQ), Lenovo Group Ltd. (OTCPK:LNVGY), International Business Machines Corp. (NYSE:IBM). ETFs: SPDR Technology (NYSEARCA:XLK), iShares Goldman Sachs Technology Index Fund (NYSEARCA:IGM), iShares Dow Jones US Technology Index (NYSEARCA:IYW)
Conference call transcript: Gateway Q4 2006 Earnings Call Transcript
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