Seeking Alpha

Analysis: Time Warner Cable looks enticing

  • The spread between Time Warner Cable's (TWC -0.9%) share price and Comcast's offer provides investors a nice entry point with an "asymmetric risk/return profile," reasons SA Pro author Chris Demuth.
  • He notes both companies have CEOs that know how to negotiate a deal with regulators. The DOJ is viewed as more likely looking to sculpt the industry (think American-US Airways) than scuttle the merger.
  • There's also the real possibility of new bids coming down the road.
  • TWC currently trades at $140.79, about 12.8% below Comcast's offer price.
Comments (1)
  • gray67
    , contributor
    Comments (42) | Send Message
     
    Maybe there is a reason there is 12.8% still on the table..... I think I would cash out before it's 15%.
    22 Feb, 12:47 AM Reply Like
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