Diamonds and Dogs
As Phil Mickelson had to give back close to $1 million in capital gains on a stock tip, he should've bought the stock of one of his biggest sponsors, Callaway Golf (ELY). Callaway is jumping over 6% to a new recent high thanks to an upgrade. The golf equipment company is higher thanks to Wunderlich's Rommel Dionisio who upgraded the stock with a $12 price target. The analyst indicated Callaway seems to have more pricing power and thanks to staggering the release of new products, the earnings growth should be a little smoother going forward. Good news for Callaway.
Today's dog is doing the opposite of what their name implies. Tribune Publishing (TPUB) is tumbling over 15% after rejecting a buyout offer from Gannett. The definition of Tribune is an official in ancient Rome chosen by the plebeians to protect their interests. The best interest of Tribune shareholders may be to accept the takeover bid. Gannett has made two offers, the latest bid of $15 a share is 22% higher than their previous offer of $12.25 a share. Private equity firm, Oaktree Capital has been pushing for the takeover while a new white knight, Nant Capital is trying to help Tribune stay independent. I doubt we've heard the last of this deal.