Shares of Qualcomm, QCOM jumped around 15% late last week on news that Broadcom will try to buy them. I've been holding QCOM for a couple of years, enjoying the dividends, but not much price appreciation in the stock. A few months ago, QCOM announced they would acquire NXPI for tens of billions of dollars.....
Now, with the stock up 21% from last week lows, I'm selling all my shares. The way I see this playing out is either:
A) Qualcomm moves to block the sale to Broadcom by over paying for NXPI, which would effectively act like a poison pill, and add a huge debt load to the company -or-
B) Broadcom pulls off the deal, in which case the recent run up in the stock price is near it's peak....
I'm not seeing a lot of upside to holding QCOM...time to redeploy elsewhere.
Best,
Chump
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