Forget a Takeover From Autodesk, PTC Is a Great Stock to Buy Anyway. Here's Why.

PTC (NASDAQ: PTC) investors were treated to a flurry of excitement in July as, according to reports, its larger peer Autodesk (NASDAQ: ADSK) took a serious look at acquiring the company only to appear to back off any such large undertakings by issuing a regulatory filing stating it was "allocating capital to organic investment, targeted and tuck-in acquisitions." Is the fun over, or are there more surprises to come?The market had no doubt about its opinion on the speculation. Autodesk shares tumbled on the day Bloomberg discussed the potential bid, while PTC stock naturally soared. This is somewhat common in such situations, and is often driven by hedge funds engaging in so-called merger arbitrage. Hedge funds often look to sell shares in the acquiring company short while buying shares in the target company, and then make money when the spread between the two stocks closes when the deal is completed.However, the interesting thing about the price action is that Autodesk's stock has somewhat recovered after the SEC filing was issued on July 14, but PTC's stock has remained relatively high.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool