Potential acquisition targets to invest in now highlight three stocks with unique innovations and technologies that could enhance the capabilities of bigger companies.
Corporate combinations that make sense for both sides often occur sooner than later. The directors of companies have a fiduciary duty to maximize shareholder value, although the timing of potential acquisitions cannot be predicted due to many uncontrolled variables.
Low interest rates, the presence of prospective buyers that are flush with cash and the acquirers’ desire for increased growth combine to spur businesses to pursue mergers and acquisitions. Plus, established companies often prefer to expand more quickly and effectively by buying other businesses than trying to grow organically.
Potential acquisition targets to invest in now, such as those identified below, typically find a niche to form a successful business but still benefit from the financial strength, management expertise and complementary activities of a buyer. Acquisitions can improve the target company’s performance and help develop its business, trim excess industry capacity, create market access for products and gain skills or technologies faster or at lower cost than if developed in-house, according to the McKinsey & Co. business consulting firm.

Paul Dykewicz interviews Hilary Kramer, whose new 2-Day Trader service is 16 out of 19 in recommending profitable trades averaging 11.78 percent returns since its launch.
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Paul Dykewicz, www.pauldykewicz.com, is an accomplished, award-winning journalist who has written for Dow Jones, the Wall Street Journal, Investor’s Business Daily, USA Today, the Journal of Commerce,Seeking Alpha, GuruFocus and other publications and websites. Paul is the editor of StockInvestor.com and DividendInvestor.com, a writer for both websites and a columnist. He further is the editorial director of Eagle Financial Publications in Washington, D.C., where he edits monthly investment newsletters, time-sensitive trading alerts, free e-letters and other investment reports. Paul previously served as business editor of Baltimore’s Daily Record newspaper. Paul also is the author of an inspirational book, “Holy Smokes! Golden Guidance from Notre Dame’s Championship Chaplain,” with a foreword by former national championship-winning football coach Lou Holtz. Follow Paul on Twitter @PaulDykewicz.

