Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

CBS Corporation (CBS) Stock & Viacom, Inc. (VIAB) Stock Spike On Merger Rumors

CBS Corporation (NYSE:CBS) and Viacom, Inc. (NASDAQ:VIAB) both got off to a strong start today and we believe we’ve dug up the cause. Below, we’ll talk about what we’re seeing from the stocks, why, and what we can expect to see from CBS and VIAB ahead.

merger, businessman, greeting, handshake, hands, business, concept, handclasp, success, friendship, symbol, partnership, tone, cooperation, people, agree, welcome,

Kritchanut/Shutterstock.com

CBS & VIAB Spike Higher

As mentioned above, both CBS Corporation and Viacom came out of the gates on fire this morning and both stocks have been in the green throughout the day. The stocks ended up trading at $57.62 per share and $37.56 per share after gains of $0.61 per share or 1.07% and $1.00 per share or 2.74% respectively.

Why The Movement Is Happening

As soon as we saw the spikes, the CNA Finance team started digging to see what was causing the movement. While neither of the companies have released any fundamental news, we believe we’ve found the cause of the gains. All over social media, we’re seeing chatter that CBS Corporation (NYSE:CBS) and Viacom, Inc. (NASDAQ:VIAB) might be merging. Among other things, the Wall Street Journal has reported that CBS has retained Moelis and Goldman Sachs as advisors on a possible merger.

Of course, the merger would likely offer incredible benefits to Viacom and CBS Corporation both. However, investors on one side seem to be reacting better than the other.

Follow Cbs Corp
Trade (CBS, CBS.A) Now!

What We’ll Be Watching Ahead

First and foremost, it’s important to remember that what we’re seeing in the market at the moment is being caused by rumors. There has been no confirmation from CBS Corporation (NYSE:CBS) nor Viacom, Inc. (NASDAQ:VIAB) that the rumors have any validity. Nonetheless, this story is likely to continue to cause movement in the market, as a merger does seem practical. We’ll be watching the story closely and bringing the news to you as we dig it up!

Follow Viacom Inc.
Trade (VIA, VIAB) Now!

Never Miss The News Again

Do you want real-time, actionable news delivered to your inbox? Join the CNA Finance mailing list.

Note: This article was written by Joshua Rodriguez, owner and founder of CNA Finance. If you would like to connect with Joshua, you can do so by emailing him at CNAFinanceHelp@gmail.com!

DOWNLOAD FREE REPORT: Warren Buffett's Best Stock Picks

Let Warren Buffett, George Soros, Steve Cohen, and Daniel Loeb WORK FOR YOU.

If you want to beat the low cost index funds by 19 percentage points per year, look no further than our monthly newsletter.In this free report you can find an in-depth analysis of the performance of Warren Buffett's entire historical stock picks. We uncovered Warren Buffett's Best Stock Picks and a way to for Buffett to improve his returns by more than 4 percentage points per year.

Bonus Biotech Stock Pick: You can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12 months.
Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading...