Why is FRx stock going down?
Jun 23, 2021 · After the merger deal is completed, FRX stock will automatically convert to Beachbody stock and cease to exist in its SPAC avatar.
What will happen to FRx stock when the SPAC merger closes?
As announced previously, upon the effectiveness of the business combination, Forest Road will change its name to “The Beachbody Company, Inc.” and its common stock and warrants are …
What are analysts'target prices for FRx stock?
Feb 10, 2021 · When the deal closes, shares of FRX stock will continue to trade on the New York Stock Exchange. However, the ticker won’t be the same. It will be switched over to the BODY …
Is forest road acquisition (FRX) a good buy?
Feb 10, 2021 · Forest Road (NYSE: FRX) stock is taking off on Wednesday after announcing a three-way special purpose acquisition company (SPAC) merger with Beachbody and Myx …
What happens to FRX shares after merger?
Will SPAC stocks recover?
Should you sell a stock after a merger?
The average takeover premium, or price at which a company is bought out, generally ranges between 20-40%. If an investor is lucky enough to own a stock that ends up being acquired for a significant premium, the best course of action may be to sell it.
Is Beachbody merging with MYX?
Why do SPACs drop after merger?
Are SPACs dead?
What happens to shares in a merger?
How does a merger affect stock price?
When one company acquires another, the stock price of the acquiring company tends to dip temporarily, while the stock price of the target company tends to spike. The acquiring company's share price drops because it often pays a premium for the target company, or incurs debt to finance the acquisition.
How does a merger affect shareholders?
“If the target company's valuations are high, then the shareholders of the acquiring company may be at the losing end due to the dilution of their holdings. If the valuations are low, then the merger may erode the target company's shareholders' value,” says Jimeet Modi, CEO, Samco Securities.Jul 17, 2017
Is MYXfitness publicly traded?
The combined company — The Beachbody Company — started trading on the New York Stock Exchange (NYSE) under the ticker symbols “BODY” and “BODY WS,” respectively, according to a press release.Jun 28, 2021
Who owns MYXfitness?
Who bought MYXfitness?
Why FRX stock is falling
After closing at an all-time high of $18.20 last month, FRX stock has fallen nearly 41 percent. The stock tumbled due to profit booking and a broader sell-off as bond yields rise. Also, investors are concerned about the slow reopening of the economy. People will likely spend less time in their homes and go outside to exercise.
Outlook for the home fitness market
The home fitness market always had a bright future, but the coronavirus pandemic boosted the subscription-based at-home fitness industry. The online fitness market is expected to grow to $59 billion in 2027 from $6 billion in 2019, which indicates a 33 percent CAGR.
FRX stock could be the next target for WallStreetBets
Retail investors on the popular Reddit forum WallStreetBets have been pumping stocks with high short interest ratios. The short interest in FRX stock is just 2.5 percent and it has fallen over the past week. With a lower short interest ratio, it isn't likely that WSB would target FRX SPAC stock for a short squeeze.
FRX SPAC's sponsor
The Forest Road SPAC IPO raised $300 million in November 2020. The FRX SPAC is sponsored by Forest Road Company, which is a specialty finance platform spread across media, real estate, and renewable energy tax credit lending, administration, and brokerage. The SPAC is led by CEO Keith Horn and chairman Zachary Tarica.
FRX and Beachbody merger date
Beachbody is a California-based company that provides digital fitness content and nutrition plans. Its CEO is Carl Daikeler. Beachbody’s subscription service has attracted more than 2.6 million members. Myx Fitness is a fitness platform that provides at-home workout equipment. It has sold more than 27,000 bikes over the past year.
Beachbody's outlook
Beachbody offers holistic at-home fitness and nutrition solutions. The company has seen positive tailwinds from the booming at-home fitness drive due to COVID-19. The digital at-home fitness spend has surged by 30–40 percent post-COVID.
Should I buy FRX stock before Beachbody merger?
The COVID-19 pandemic has accelerated the subscription-based at-home fitness business. The trend is also expected to see strong growth. The online fitness market is expected to grow from $6 billion in 2019 to $59 billion by 2027 at a CAGR of 33 percent. Also, the subscription-based model should see the compounding effects over time.
Is Forest Road Acquisition a buy right now?
2 Wall Street analysts have issued "buy," "hold," and "sell" ratings for Forest Road Acquisition in the last twelve months. There are currently 1 hold rating and 1 buy rating for the stock.
What stocks does MarketBeat like better than Forest Road Acquisition?
Wall Street analysts have given Forest Road Acquisition a "Buy" rating, but there may be better buying opportunities in the stock market. Some of MarketBeat's past winning trading ideas have resulted in 5-15% weekly gains. MarketBeat just released five new stock ideas, but Forest Road Acquisition wasn't one of them.
What price target have analysts set for FRX?
2 equities research analysts have issued twelve-month price targets for Forest Road Acquisition's shares. Their forecasts range from $11.00 to $14.50.
Who are some of Forest Road Acquisition's key competitors?
Some companies that are related to Forest Road Acquisition include Johnson & Johnson (JNJ), Pfizer (PFE), Eli Lilly and (LLY), AbbVie (ABBV), Merck & Co., Inc.
What other stocks do shareholders of Forest Road Acquisition own?
Based on aggregate information from My MarketBeat watchlists, some companies that other Forest Road Acquisition investors own include The Boeing (BA), Bank of America (BAC), (CELG), Capri (CPRI), salesforce.com (CRM), Gilead Sciences (GILD), Las Vegas Sands (LVS), Starbucks (SBUX), Schlumberger (SLB) and Constellation Brands (STZ).
What is Forest Road Acquisition's stock symbol?
Forest Road Acquisition trades on the New York Stock Exchange (NYSE) under the ticker symbol "FRX."
Who are Forest Road Acquisition's major shareholders?
Forest Road Acquisition's stock is owned by a variety of retail and institutional investors.
