+ 0.00
+ 0%
+ 0.00
+ 0%
+ 0.00
+ 0%
+ 0.00
+ 0%
+ 0.00
+ 0%

Monday Morning Volatility: PreMarket Prep Recap For Feb. 10, 2020

February 10, 2020 11:21 am
Share to Linkedin Share to Twitter Share to Facebook Share to Print License More
Monday Morning Volatility: PreMarket Prep Recap For Feb. 10, 2020

Of all the headlines on Monday morning, one in particular caught our traders’ eyes on PreMarket Prep: Simon Property Group Inc’s (NYSE:SPG) acquisition of 80% of Taubman Centers, Inc (NYSE:TCO) for $3.6 billion, or $52.50 per share in cash.

The deal is notable not just for who it involves, one struggling mall REIT paying a massive premium for 80% of another, but for the stocks’ recent moves.

Looking at a daily chart of Taubman Centers, co-host Joel Elconin noticed the stock, which had been making multi-year lows, had four strong up days on unusually heavy volume last week.

“What a gift for anybody that’s bought this stock since 2019,” he said.

“This chart looks like some people knew this deal was happening,” added co co-host Dennis Dick. “This is the biggest move that this stock has had in years. Straight up from $26 to $35 in four days ahead of this deal. Think about where the real estate market is. We’ve been talking about mall-based retailers, besides Lulu, the mall-based retailers are all in the gutter. And here you’ve got a company that specializes in the property of malls and you're paying a huge premium. I don't get this at all.”

For the full discussion on the Simon Property-Taubman deal, click here.

Other Stocks Discussed On The Show

Some of the stocks also discussed include:

Paul La Monica, Digital Correspondent at CNN Business

Paul La Monica writes daily about the markets, economy and technology and also appears in the daily Buzz video segment. He also tweets throughout the day on StockTwits and Twitter @LaMonicaBuzz. La Monica previously was an assistant managing editor overseeing the site's economic, markets and technology coverage.

Paul’s full interview can be viewed at 14:15 in the video below or by clicking here.

Watch the full show or listen to the podcast below.

PreMarket Prep is a daily trading show hosted by prop trader Dennis Dick and former floor trader Joel Elconin. You can watch PreMarket Prep live every day from 8-9 a.m. ET here. The replay can be found on Benzinga's YouTube channel, and the podcast is on iTunes, Google PlaySoundcloudStitcher and Tunein.

Meet the Hosts:

Dennis Dick
Joel Elconin

For FASTER NEWS and IN-DEPTH market data, check out Benzinga Pro. CLICK HERE for a free two-week trial.

Like the show? Keep up with Benzinga on all our platforms:
Subscribe to our newsletters
Check out our events Follow us on Twitter
Like us on Facebook

Disclaimer: All of the information, material, and/or content contained in this program is for informational purposes only. Investing in stocks, options, and futures is risky and not suitable for all investors. Please consult your own independent financial adviser before making any investment decisions.

Related Articles

PreMarket Prep Stock Of The Day: Taubman Centers Inc.

Jim Cramer Says 'Not Too Late' To Bet On These Reopening Plays

Jim Cramer said Monday it is not too late “to make a big bet” on reopening stocks. read more

5 Election-Proof Stock Ideas Ahead Of Biden-Trump Decision

The U.S. presidential election will likely be a major stock market catalyst. Traders are already trying to identify the best “Biden stocks” or “Trump stocks” that could rally depending on the election outcome. read more

PreMarket Prep Stock Of The Day: Simon Property Group

Benzinga's PreMarket Prep airs every morning from 8-9 a.m. ET. During that fast-paced, highly informative hour, traders and investors tune in to get the major news of the day, the catalysts behind those moves and the corresponding price action for the upcoming session. read more