PagerDuty may draw a takeover bid

Article Excerpt

PAGERDUTY INC., $24.54, is a buy. The company (New York symbol PD; TSINetwork Rating: Extra Risk) (www.pagerduty.com; Shares outstanding: 91.9 million; Market cap: $2.2 billion; No dividends paid) jumped recently on a report that the software maker is evaluating its options amid takeover interest from private equity firms. PagerDuty is reportedly speaking with advisers about a possible sale. We’ve said for a while that PagerDuty’s business could conceivably be an attractive takeover candidate for any number of major tech firms that want to move into its growth markets. That’s not reason enough to buy the stock, but it adds to its appeal. PagerDuty is a buy. buy. …