Why International Flavors & Fragrances, Precision BioSciences, and GameStop Slumped Today
Major benchmarks got off to a gloomy start on Monday, as investors weren't able to sustain the upward momentum that sent popular indexes to new records last week. As the year draws to a close, many market participants are considering just how successful the 2010s have been for stocks, pointing to standout companies. Yet a few stocks still lost significant amounts of ground. International Flavors & Fragrances (NYSE: IFF), Precision BioSciences (NASDAQ: DTIL), and GameStop (NYSE: GME) were among the worst performers. Here's why they did so poorly.
Shares of International Flavors & Fragrances sank 6% on reports that the company is looking to purchase the nutrition business of DuPont (NYSE: DD). Unfortunately, there's a potential competing bidder in Irish food producer Kerry Group, and it's uncertain what the outcome of a bidding war might be. Purchasing DuPont's nutrition business would be a strategic victory for IF&F, largely because it would broaden the combined company's scope and open up new opportunities in the food business. However, paying too much for the unit would be a mistake, and so shareholders won't be certain what the outcome will be until the process plays itself out.
Image source: International Flavors & Fragrances.
Source Fool.com
