The APX bid that wasn’t.

Firstly, that’s a big downgrade.

Sales are expected to grow (see below revenue trajectory forecast) and grow materially, and now we find they are tracking below prior YTD, with associated impacts on earnings (from the above paragraph).

Second, it still isn’t that cheap. Things gotta grow, to justify the multiple, and it is hard to see what’s going on.

Not one for us. I would imagine it is down, and down a lot, today, given the bid has been pulled in less than 24 hours, which is usually suggestive of “shenanigans” that aren’t worth uncovering.

(Update: astoundingly, it only fell to “roughly” its pre-bid level. Given that it was announcing a big downgrade, alongside the potential takeover, you would have thought it would fall 20% below the pre-bid level after the takeover fell through.)

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