Reduced Inphi

Just after the acquisition by Marvell was announced, the Inphi share price was in the low 130s. Yesterday the range was high 140s to low 150s. Now that I have Marvell on board, I have sold 50% of my Inphi position.

Many tech stocks have been hitting new highs. It is difficult to say whether prices will come back a bit or continue to rise at this point in time, but the Inphi reduction will provide funds to buy more Marvell on weakness. As $66 per Inphi will effectively become cash, I suppose the stock will provide an escape hatch for institutional fund managers who are expected to be fully invested. They just need an analyst to publish a note on the merger which covers the possibility of third party intervention.

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