Allstate Corp (NYSE: ALL)
Allstate was off to a relatively normal start to the session today in the market. After starting the day in the red, the stock climbed its way up to the green line. However, minutes ago, we started to see a small spike that we believe will turn into something bigger soon. Below, we’ll talk about what we’re seeing, why, and what we’ll be watching for with regard to ALL ahead.
What We’re Seeing From ALL
As mentioned above, Allstate was off to a regular day in the market. Starting off in the red and work its way to the green line, the stock didn’t provide any excitement. That is until minutes ago, when the stock started a small spike that looks like it could turn into something. At the moment (11:01), ALL is trading at $71.07 per share after a gain of $0.38 per share (0.54%) thus far today.
Why The Stock Is Headed Up
As soon as we noticed the movement on ALL, the CNA Finance team started to see if we could dig up a reason for the gain. While the company hasn’t released any fundamental news that would suggest such a spike would be coming, we did find something in the social space.
In the world of social media, we’re seeing a ton of chatter. Essentially, the social investors are circulating a rumor that Allstate may soon be acquired. In the rumor, AIG is the likely buyer. However, it’s important to keep in mind that these rumors are unconfirmed at the moment.
What We’ll Be Watching For Ahead
Moving forward, we’re expecting a decent reaction to the rumors. However, it’s important to remember that in most cases, rumors like the one surrounding ALL at the moment don’t pan out. While there is a silver lining in the fact that AIG was mentioned as the buyer, there is still no confirmation. Nonetheless, we’ll be watching the story closely and we’ll bring you the news as it develops.
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[Image Courtesy of Flickr]