Forget The CRM-WORK Deal – Here's The "Remote Office" Merger I'm Looking At

The company's stock is up around 62% from its March 2020 lows, but that's not surprising for a tech sector star; it's still got another 21% or so to run till it gets back its 52-week highs.

So the stock's been doing very well, and the company itself has been keeping busy.

Like a lot of Silicon Valley cybersecurity companies recently, it's been doing some acquiring of its own. Last month, FireEye shelled out $186 million to buy Respond Software.

Respond is an interesting outfit – a very interesting one. It has software that helps managers and employees who aren't cybersecurity analysts or specialists investigate and, importantly, understand, all kinds of cybersecurity incidents, like data breaches and so on.

Cybersecurity specialists are expensive, and there just aren't all that many of them, so this company's product is like an ace in the hole for management everywhere.

Cybersecurity Ventures predicts global cybercrime will cost global businesses and individuals $10.5 trillion by 2025, and that doesn't, so far as I know, factor in the remote working revolution.

The prospect of tens of millions of workers, very few of whom are cybersecurity specialists, sending all kinds of valuable corporate and personal information flying through cyberspace has got to have crooks licking their chops in anticipation.

A company like FireEye, able to offer a product like Respond, is perfectly positioned – and not just from the massive need for cybersecurity.

This company makes an almost irresistible takeover target for seriously hungry big Silicon Valley fish. Even if a buyer were to cough up a 20% or 30% premium, they'd still be getting a great deal for much less than $10 billion – almost peanuts by Bay Area standards – and you, as a shareholder, would do even better. What I would do is this: Buy FEYE at market, get comfortable, and wait a year or so for the takeover bid I'm sure is coming.

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