An "Automatic" 36% Discount on This Stock
Right now, one sector offers some of the greatest values in the market. These stocks are trading at a 36% discount to the S&P 500's 2009 P/E ratio. And one stock in this sub-niche is poised to outdo all others. Here's why...


Defining Investment Jargon: Stalking-Horse Bid

by Investment U Research Team

A stalking-horse bid is a phrase that your rarely hear, but one that might start showing up more with the amount of companies going into bankruptcy.

Last month, VeraSun Energy (OTC: VSUNQ), one of the nations largest ethanol manufacturers, declared they had received a stalking-horse bid for their physical assets as they undergo bankruptcy proceedings.  

A stalking-horse bid is an initial bid on a bankrupt company’s assets. Generally, the bid comes from an interested buyer selected by the bankrupt company in order to set the minimum price they will consider on the liquidation of their assets.

This prevents multiple low-ball offers from pouring in and forces potential buyers to compete against each other. 

On receiving the stalking-horse bid from Valero Energy (NYSE: VLO), Verasun opens the doors for other companies to submit their bids. The goal, being to get the best price possible for the creditors of VeraSun.

More on this topic (What's this?)
Bottom Fishing In Alternative Energy (The DIV-Net, 3/19/09)
Valero: value or value trap? (The Curious Investor, 6/10/09)
Valero: A valuation almost too good to be true (The Curious Investor, 12/24/08)
Read more on Verasun Energy, Valero Energy at Wikinvest
Related Investment U Articles:



McAfee Secure sites help keep you safe from identity theft, credit card fraud, spyware, spam, viruses and online scams
Sign Up now and receive this Free report:

The Three Best Stocks to Own in 2010.




The Company Set to Dominate a $60 Billion-a-Year Market

$60 billion is spent on cancer treatment in the U.S. - each year. And one company is poised to receive the lion's share of it.

The medical director at the Alta Bates Comprehensive Cancer Center says, "...possibly a third of our cancer patient population will soon be undergoing this [company's] treatment."

Another doctor at the University of Texas MD Anderson Cancer Center says he intends to treat over 1,000 patients a year with this technology.

Here's how you can claim your stake in the company before this cash infusion sends shares soaring.

Share Investment U:
  • email
  • Print
  • Digg
  • Sphinn
  • del.icio.us
  • Facebook
  • Google Bookmarks
  • Propeller
  • StumbleUpon
  • Technorati
  • Yahoo! Buzz
  • Reddit
  • NewsVine
  • SphereIt
  • Twitter

Comments

**By submitting your comment you agree to adhere to our Comment Policy and Privacy Policy.

Check out our selection of daily Investment Research:

IU Blackboard IU Archives



Protect your purchasing power – invest in these foreign currencies and precious metals.

Recent Articles


Search Investment U




Platinum Services

Oxford Club
The Oxford Club is an exclusive, global network of investors, who collectively participate in the pursuit of prosperity and wealth. The Club is renowned for its market-beating, tried-and-true investment principles.

White Cap The White Cap Report exclusively identifies companies, White Caps, which - by being among the earliest to gain traction - have secured dominant positions within untapped, billion-dollar markets.

Cash In on "Growth Stocks on Steroids"





What Readers Are Saying…

"Always enjoy what you have to say, and learn something new (and useful) almost every time. Thanks again for your outstanding work." Jeff K.

"I just want to say a quick thank you to Alexander Green for not only his sage advise, but his reassuring words of encouragement that we all need right now." Bryan W.