Please click here for a chart of Maxim Integrated Products (MXIM).

Note the following:

  • The chart shows the original Arora buy signal.
  • Since the original buy signal, the Arora Report subscribers have had several opportunities to buy the stock.
  • The chart shows the big move in the stock producing a 167% gain.
  • Partial profits have previously been taken.
  • A part of the original position is still being held.

A good way to generate wealth is to buy stock of the companies that are potential buyout targets.  When a company gets bought out, the buyer typically pays a significant premium.   All buyouts are not created equal.  Some buyouts are for cash.  In other buyouts, investors get shares of the acquiring company or a combination of both.

Maxim Integrated Products () is an analog semiconductor company that The Arora Report had identified as a potential buyout target.  The stock was originally purchased at a price of $38.81.  It is trading at $103.77 as of this writing generating a return of 167%.

Previously MXIM has received a buyout offer from Analog Devices () in an all-stock deal.  MXIM shareholders were to receive 0.63 shares of  stock for each MXIM share held.

MXIM became the 157th Arora Portfolio company to be bought out. To date 167 Arora Report companies have been bought out producing a fortune for Arora Report subscribers. The news is that China has approved the buyout of MXIM by . The transaction is expected to close on or about August 26, 2021.

Semiconductors are the new lifeblood of the economy.  Semiconductors are in everything these days.  Unlike digital semiconductors, there is less competition in analog semiconductors.

See also  HEDGES TURN VERY PROFITABLE, GOOD JOBS REPORT, CHINA RETALIATES

What To Do Now

Investors should review their portfolios for semiconductor holdings.  Based on personal preference and review of the portfolio, a decision should be made to continue to hold ADI stocks (which you will get in exchange for your MXIM stock) or to take profits and exit the MXIM position.

For tracking purposes, ADI stock will continue to be held for the very long term in the portfolio that surrounds the Core Model Portfolio.

Trades posted on The Arora Report Market Blog have produced unrivalled performance since 2007.  These trades have been scrutinized in real-time by thousands of investors across the globe.  This provides easy verification of performance for newcomers to this site.  Only those trades are included in the performance where the entry post was made available to subscribers to The Arora Report Market Blog.  When the entry post is made available only to the paying subscribers and not posted in real-time on The Arora Report Market Blog, the resulting performance of the trade is not credited in the performance table.  There are very nice gains on this trade but since the entry trade was not posted here for the free subscribers in real-time but only made available to the paying subscribers, handsome profits on this trade will not be added to the performance of The Arora Report Market Blog shown on the table.