takeover stock

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Takeover Stock

Stock in a company that is considered a primary target for a hostile takeover. Takeover stock is likely to rise significantly in price as rumors of a takeover are thought to increase demand.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

takeover stock

A stock that, for various reasons, has good potential for being taken over by another firm. In 1985, companies engaged in radio and television broadcasting were considered potential takeover targets; as a result, their stock achieved significant price gains. See also in play, split-up value.
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.