fbpx
QQQ
-2.71
348.05
-0.78%
DIA
-5.86
344.51
-1.73%
SPY
-7.07
429.04
-1.68%
TLT
+ 2.69
140.35
+ 1.88%
GLD
-0.87
166.72
-0.52%

Evercore: Rumors Of Qualcomm Buying NXP Semiconductors Could Be 'Very Real'

by
September 29, 2016 3:06 pm
Share to Linkedin Share to Twitter Share to Facebook Share to Print License More

An Evercore analyst said speculation of chipmaker QUALCOMM, Inc. (NASDAQ: QCOM) agreeing to acquire NXP Semiconductors NV (NASDAQ: NXPI) could be "very real."

"[D]eal could be largely done with cash and double-digit accretion for QCOM," the analyst said.

The comments came after Wall Street Journal reported Qualcomm is in talks to buyNXP in a deal that could be valued at more than $30 billion.

Related Link: Did Bernstein Call A Qualcomm-NXP Merger Thursday Morning?

The report said a deal could be struck in the next two to three months.

Meanwhile, the analyst expects the price at $116, which is 14-15x on $8 EPS.

Moreover, the analyst noted that Broadcom Ltd (NASDAQ: AVGO) may also steps in to bid as they have been talking a desire to do a big deal similar to Qualcomm.

The analyst believes the potential deal "would think relatively clean on antitrust, as they each list extensive competitors in the K's but not each other."

At time of writing, shares of NXP surged 15.93 percent to $95.34 after reaching a 52-week high of $98.09. Shares of Qualcomm also set a new 52-week high of $68.83 and were up 6.07 percent to $67.30.

In addition, Broadcom shares also gained 1.29 percent to $172.90.

For the latest in financial news, exclusive stories, memes follow Benzinga on Twitter, Facebook & Instagram. For the best interviews, stock market talk & videos, subscribe to our YouTube channel.


Related Articles

Why Analysts Are Bullish On Broadcomm After Q1 Print

Chipmaker Broadcom Inc. (NASDAQ: AVGO) reported late Thursday its fiscal-year 2021 first-quarter results, which came in ahead of expectations. read more

4 Intel Analysts On What New CEO Means For Chipmaker's Market Share, Turnaround

Intel Corporation (NASDAQ: INTC) announced a new CEO Wednesday, sending the chipmaker's shares higher by about 7%. read more

Applied Materials, II-VI Are BofA's Favorite Semiconductor Plays For 2021

Tech stocks are poised to outperform yet again as the industry sees accelerating growth, according to an analyst at BofA Securities. read more

Mizuho's Top Semiconductor Stocks For 2021: Do You Own Them?

The new year is shaping up to be a strong one for semiconductor stocks, an analyst at Mizuho Securities said, citing key trends. First-Half Momentum For Semiconductors: Semiconductor companies are poised to see a constructive first half, with accelerating year-over-year momentum and favorable macroeconomic tailwinds, Mizuho analyst Vijay Rakesh said in a note. read more