Taxes Instrument’s takeover of National Semi was a wonderful surprise and a great move for TI long-term. What took everyone by surprise was the premium paid, about 72% over the market price. Whether it was worth it or not, that’s something for the future to decide, but what mattered was that NSM was severely undervalued by this inefficient market. The tech market especially was so occupied by startup hypes, cool Internet sites, and fancy gadgets that it ignored a rock solid base technology that is fundamental to life as we know it. Luckily someone was watching! Great for TI and investors who were doing their homework 😉
Now what is next? Well, there are a couple of dogs that have been grooming themselves and were not being noticed:
EMC, MSFT, and GLW. I will post my research later on these, but if you have to pick one from the three, then I think GLW is the most severely undervalued. EMC and MSFT were just caught into a downdraft and have not recovered yet.