Alphawave IP Group (AWE – Research Report), the Technology sector company, was revisited by a Wall Street analyst today. Analyst Janardan Menon from Jefferies downgraded the rating on the stock to a Hold and gave it a p183.00 price target.
Don’t Miss TipRanks’ Half-Year Sale
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
- Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week.
Janardan Menon has given his Hold rating due to a combination of factors surrounding the recent developments in Alphawave IP Group’s acquisition by Qualcomm. Initially, Menon upgraded Alphawave to a Buy when Qualcomm announced its interest in acquiring the company, as the intellectual property of Alphawave was deemed attractive, making a bid likely. However, following Qualcomm’s confirmed cash offer of 183p per share, the market has largely adjusted to this valuation, with Alphawave’s stock trading close to the offer price at 173p.
Menon’s Hold rating reflects the belief that the current share price already incorporates the anticipated acquisition benefits. While the deal is expected to receive regulatory approval and be completed by the first quarter of 2026, the potential for significant short-term gains is limited given the current market pricing. The acquisition, which involves a cash offer or an alternative share exchange, is seen by Alphawave’s board as a compelling opportunity, but Menon advises holding the stock as the market has already priced in the offer’s value.
In another report released on June 10, Deutsche Bank also downgraded the stock to a Hold with a £1.83 price target.