Take the Money and Run – Sell WhiteWave on Danone Buyout
Shares of The WhiteWave Foods Company (WWAV), a leader in organic and non-GMO food products, are trading significantly higher this morning on news that it received a $12.5 billion all-cash buyout offer from France’s Danone Foods, valuing shares of WhiteWave at $56.25, an 18% premium over its closing price on July 6th.
WhiteWave is the first stock I picked using our proprietary ATIS system, which is geared toward finding companies that apply technology and science to business processes. Other ATIS stocks in our portfolio at the moment include McKesson (MCK), Rollins Inc. (ROL) and Medidata Solutions (MDSO).
We bought WWAV on March 21, 2016 at $40.64, giving us a 38.4% gain on the shares based on the buyout price. We recommend the immediate sale of WWAV shares.
Disclosure: I own shares of Whitewave Foods.
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