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Re: None

Wednesday, 03/02/2011 9:23:23 AM

Wednesday, March 02, 2011 9:23:23 AM

Post# of 11305
Takeover plays ... strong cash flow ...

http://seekingalpha.com/article/255855-takeover-plays-8-takeover-lbo-targets-with-strong-free-cash-flow?source=email_watchlist

6. InterDigital, Inc. (IDCC): Wireless Communications Industry. Market cap of $2.11B. StockPickr identified the company as a potential takeover/LBO target.

Levered FCF is 13.55% of market cap (TTM Levered FCF at $285.94M and market cap at $2.11B).

Short float at 17.88%, which implies a short ratio of 7.01 days. The stock has gained 84.32% over the last year.

The company has demonstrated rapid cash flow growth over the last five years, which may lower their risk going forward. Five year average cash flow growth at 62.03%, much higher than the industry average at 9.08%.

jmho, johnny

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