Holy cow, what's not in play? It seems like only salesforce.com (CRM)!
This morning I am hearing more thought-provoking rumors than I have in ages. I don't really know what to do with them other than report the rumors of why some stocks are running -- it's unorthodox but what else can you do?
First, don't be confused by Salesforce.com. That stock is running because of the amazing quarter it had, not because Oracle (ORCL) or Microsoft (MSFT) want to buy it.
But that's not the case with Emerson Electric (EMR) and Eaton (ETN). Both are rumored to be the next targets of Trian Partners. Action Alerts PLUS owns Eaton and we know that CEO Sandy Cutler is no friend of Nelson Peltz, the principal of Trian, having been lead director at DuPont (DD) and point man in the proxy battle against Peltz joining the board. To me, it seems too spite-oriented and I discount the rumor; however, the stock is cheap and there could be a cash event later in the year.
Emerson's tougher. It's been doing quite poorly and I don't know what Trian could do to turn it around. But I didn't know what Trian could do with Ingersoll-Rand (IR) and I underestimated their thoughtfulness and their clear-headed vision. Emerson's down a great deal but there easily could be a shortfall once again. Know the risk; there could be big reward.
We know that activist JANA Partners is in Qualcomm (QCOM), militating that something occurs. Looks, there is something going on but there's also a large buyback.
Finally, CVS Health (CVS) has ignited so much chatter with hits Omnicare (OCR) bid that I think a consolidation is occurring in the health care cost containers. Remember, there are many great ones and they aren't cheap -- but I wouldn't discount a thing!
Again, take it for what it's worth: I am describing the chatter I am hearing, not what actually may be occurring. It's not what I like to do, but I am not going to censor myself when I know what rumors are driving these stocks.