FoggyIsle.XYZ | Market's view on Smith (DS)

Smiths News is recommended as a potential investment for those looking to reinvest proceeds from Smith DS shares, highlighted for its reasonable price and high dividend.
Discussions speculate on whether the US market will prioritize revenue increase over a potential fall in earnings.
There is speculation about IP potentially purchasing DS Smith due to its lacklustre performance.
A stock watcher inquires about the reason behind a drop in margins and seeks the source of a trading update.
The Memphis, Tennessee-based company reported a profit of 16 cents per share, with adjusted earnings of 17 cents per share, missing Wall Street expectations.
A stock watcher plans to exit their position in DS Smith to avoid potential ownership of IP stocks and to reinvest in other dividend payers.
It’s suggested that holding IP shares might be more advantageous than DS Smith shares in light of a possible takeover.
Major shareholders are anticipated to soon decide on an offer from IP.
The price range for potential reinvestment in the stock market is discussed, with a focus on the volatility and unpredictability of the market.
A stock watcher expresses regret for not selling SMDS when its price was over £4, indicating a missed opportunity due to unexpected market movements.
There’s a belief that if the merger’s cost savings and synergies are realised, SMDS’s share price could potentially return to around 500p.
The decline in IP’s stock price from USD 41 to 34 since the bid for SMDS was made, raises concerns about the potential dilution of existing shareholders.
The SMDS share price is expected to follow IP’s for the duration of their merger process, with a formula provided to calculate the offer price.
The recent drop in IP’s share price has made the deal seem unattractive, leaving shareholders hoping for an improvement.
Future financial statements from IP are anticipated to significantly influence stock prices.
The stock price of SMDS is expected to track IP’s for the next eight months, with a calculation method provided for estimating the offer price based on IP’s share price and currency exchange rates.
Concerns are raised about the clarity of stock listings post-merger, specifically where the shares will be listed, expressing a preference for the London Stock Exchange.
The acquisition strategy of Mondi and its potential implications for the market are discussed, noting that Mondi has positioned itself as a possible medium-term target due to its conservative approach towards acquisitions.