Barrington expects Vizio buyout price to be several dollars above $10

Barrington analyst James Goss says a purchase of Vizio (VZIO) would provide Walmart (WMT) with greater exposure to advertising and appears plausible in strategic terms. With multiple avenues for upside from a potential combination, an acquisition should adequately reflect incremental growth Vizio would enable, the analyst tells investors in a research note. The firm says that while the rumored offer suggests a 30%-plus premium over the latest level at which Vizio had been trading, that price level “had represented a very depressed valuation for a company that is very well positioned and poised for significant upside.” Barrington expects an ultimate transaction price would need to be at least several dollars above $10 per share, its current price target. The stock closed Tuesday at $9.75 following the Wall Street Journal’s report of the takeover talks.