Estee Lauder Companies Inc (NYSE: EL) isn't having the best of days in the market today, in fact, the stock has been trading in the red throughout the first half hour. However, there is a rumor surfacing, and if the rumor is true, this thing could fly. Currently (9:57), EL is trading at $103.24 per share after a loss of $0.53 per share (0.51%) thus far today.
EL May Be Taken Over
As mentioned above, Estee Lauder isn't having a great day in the market today, but that may change thanks to a rumor that's breaking on Wall Street at the moment. The rumor suggests that the company will soon be taken over at a price of $45 billion. However, the rumor doesn't suggest who the buyer might be.
Any time we see rumors in the market, it's important that we point out that it's not the first time. At the end of the day, rumors are a regular occurrence in the stock market. Most of these rumors prove to be invalid. While there is a good argument for the idea of an acquisition to come, with the EL rumor being so vague, I wouldn't get my hopes up. So, if you're going to trade on this rumor, please do so with caution.
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What We'll Be Watching For Ahead
Moving forward, the CNA Finance team will be keeping a close eye on EL. In particular, we're interested in seeing if there is any validity to the rumors. Of course, we don't believe that a takeover is going to happen, but anything can happen in the market. It wouldn't be the first surprise! Nonetheless, we'll continue to follow the story closely and bring the news to you as it breaks!
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