Depends. If the stock has been on a down trend for a long while...

Depends. If the stock has been on a down trend for a long while and in a desperate situation financially, ie, bad balance sheet etc. it may not look very attractive and also little bargaining power. Yes, PBH sp has been on a down trend since Feb but it's not in the critical territory. Very high majority of take overs end up being at a premium to the average price of the last two to 4 weeks of trading. With enough money in their coffers and good revenue, PBH don't seem to be in a desperate situation. Whatsmore, aside from being strong in Australia they have presence in many US states and a known brand. In my opinion PBH sp might, only might, slide a little further but a take-over will certainly push the price up by a palatable amount. I sold my position recently but I still view this stock a very promising one and am waiting to get back in. For me, given the despicable situation most Asx stocks are at the moment, this stock is a buy at the current price. Not a buy or sell advice, just a personal opinion.