In light of activist hedge fund Third Point’s legal action in regards to questioning the legality of Sotheby’s (NYSE:BID) poison pill measure, Stifel Nicolaus reiterated their Buy rating and $65 price target. Legal opinion aside, fundamentals look good for Sotheby’s The research report does not take a legal opinion on the merits of Third Point’s claims, but notes the positives, saying at a minimum hedge fund manager Loeb’s desire to control 20% of the stock is good for investors just based on the supply and demand equilibrium in the market. Based on the fund’s recent 13D filing, Loeb currently controls 6,650,000…
Stifel Bullish On Sotheby's Despite Legal Risks
Mark Melin
Mark Melin is an alternative investment practitioner whose specialty is recognizing the impact of beta market environment on a technical trading strategy. A portfolio and industry consultant, wrote or edited three books including High Performance Managed Futures (Wiley 2010) and The Chicago Board of Trade’s Handbook of Futures and Options (McGraw-Hill 2008) and taught a course at Northwestern University's executive education program.