Tesla Gets the Barron’s Treatment, MGM’s Past Poses Problems, and 3 More Hot Stocks
Tesla Motors (NASDAQ:TSLA): Tesla shares are trading down and experiencing some heightened volatility on Monday after a Barron’s piece warned of “Bubble Trouble” as some analysts weakened their support for the EV maker. Also over the weekend, rumors swirled around Tesla’s potential implementation of putting an all-wheel drive system — slated for the Model X SUV — into the Model S sedan as early as next year.
MGM Resorts International (NYSE:MGM): MGM’s troubled legal past is now presenting fresh issues as the company looks to obtain gambling permits in new states, The Wall Street Journal is reporting. Regulators in New Jersey, Massachusetts, and Maryland are probing through the details of the role Terry Christensen played with the company even after he was indicted for a wiretap scheme and moved off the MGM board.
Dole Food Co. Inc. (NYSE:DOLE): Dole announced that it worked out an arrangement David Murdock that will see the sale of the company back to its previous owner for $13.50 per share. The terms are $1.50 higher than a previous offer Murdock made through his affiliated companies and has a short 30-day go-shop period. It’s expected to close during the fourth quarter.
Avis Budget Group Inc. (NYSE:CAR): Avis has negotiated a deal to acquire a 50 percent holding in existing licensees in Brazil for $50 million. The company currently operates a fleet of 4,000 cars and 40 locations in the country, where it has been since 1978. The Brazilian car rental market is expected to reach $4 billion in annual revenue by 2016.
Health Management Associates (NYSE:HMA): Glenview and its 14.6 percent stake in Health Management is reportedly expected to win consent solicitations to replace the latter’s entire board possibly as early as Monday. The firm opposes the company’s $3.9 billion sale to Community Health Systems, saying the deal “establishes an important floor value” that should be the basis for obtaining greater value for shareholders.
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