Does This Big Buyout Actually Make Sense?

Updated

In the recent episode of Marketfoolery Analysts react to Tempur Pedic 's (NYS: TPX) big buyout of rival Sealy (NYS: ZZ) .

Joe Tenebruso likes the move because it gives Tempur Pedic a better presence in the entry level mattress segment, while Austin Smith thinks that Tempur Pedic is still very cheap today, even after the pop following their buyout announcement.

There is also something to be said for the mattress industry's ability to weather the e-tailing storm.

With Amazon crushing bricks and mortar competitors left and right, who knows how much longer mattresses will be able to retain their place as one of the few amazon-proof industries out there. To read more about how Amazon keeps winning, we've created this new premium report on Amazon, which runs through everything investors have to know about the company. Our report also has you covered with a full year of updates as key new hits, so click here now to get started.

The article Does This Big Buyout Actually Make Sense? originally appeared on Fool.com.

Chris Hill owns shares of Amazon.com. The Motley Fool owns shares of Amazon.com and Tempur-Pedic International. Motley Fool newsletter services recommend Amazon.com. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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