

Google's Motorola acquisition is just a 10% premium over their 2011 high - jefftala
http://www.jeffreytalajic.com/2011/08/15/google-goes-bargain-hunting/

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Tyrannosaurs
The idea that Google went bargain hunting would be stronger if anyone
genuinely believed that what has happened to the market in the last couple of
weeks is short term.

The reality is that before the recent drop stocks were over valued so all he's
really saying is "they only paid a relatively small amount above a previous
over valuation".

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sskates
I never understood this notion that the "fair value" of a company is somehow
tied to anything but the price of its stock. If the fact that a stock used to
be worth more than it is now means that it's somehow under priced then you'd
have an easy arbitrage strategy on your hands. Google paid a 63% markup even
though this author spins it as though they paid only 10% above some "true
value".

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barista
by that logic when microsoft was trying to buy yahoo a couple of years ago
they were getting a huge discount compared to the 2001 high. Microsoft should
have really upped the offer.

~~~
dualboot
Microsoft's offer assigned Yahoo's shares at the same value as Microsoft
shares. It was a fair and it was questionable for Yahoo not to take it.

On the other side of that coin Microsoft is really lucky that Yahoo didn't
take the offer.

