Never buy a company just because it may get a takeover offer—unless you’d be happy owning if there’s never a deal.
That’s a rule I’ve followed religiously for over 35 years in this business. It’s kept me away from some obvious targets like the former Sprint, which was ultimately bought after nearly going bankrupt.
But focusing on high quality companies has also limited exposure to “take under” situations, where acquirers take advantage of distressed prices to squeeze out other shareholders. And when picks have received offers, they’ve been at sizeable premiums to prices prevailing before deal making rumors started to fly.
Invest Smarter! Join Conrad’s Utility Investor!
Smart investing. Taking advantage of real opportunities and not fads (and knowing the difference). Finding the companies and stocks that will deliver for the long haul, so investing lets you live instead of investing turning into your life. Roger Conrad has dedicated his career to these principles—and that’s what Conrad's Utility Investor delivers.
Roger's favorite utilities for investors seeking superior price appreciation by taking calculated risks.
Harness the tried and true wealth-building power of rising dividends.
Nothing compounds wealth like reinvesting a rising stream of dividends.
Warning: Falling Dividends.
Roger's current take and vital statistics on more than 200 essential-services stocks.