MSFT

Skype

Microsoft (NASDAQ: MSFT) opened at $25.37. So far today, the stock has hit a low of $25.25 and a high of $25.70. MSFT is now trading at $25.62, down $0.21 (-0.8%). Over the last 52 weeks the stock has ranged from a low of $22.73 to a high of $29.73. This morning MSFT announced a deal to acquire privately-held internet telephone company Skype Technologies SA for $8.5 billion in cash. As part of the deal, Skype will support MSFT devices like Xbox and Windows Phone, while MSFT will connect Skype users with Lync, Outlook, Xbox Live and other communities. Microsoft said it will continue to invest in and support Skype clients on non-Microsoft platforms. Technical indicators for the stock are bullish and S&P gives MSFT a positive 4 STARS (out of 5) buy ranking. If you are looking for a hedged play on MSFT the stock seems like it could be a candidate for a July out-of-the-money bear-call credit spread above the 27 range.