I liked the stock at $85, thought it was really cheap at $82, and can’t buy enough at $79.50. Apparently I’m not the only one.

Although bears tried to control the trading in Merrill this morning, buyers fled in to buy the stock as it moved below $80. With shares now trading at a single-digit multiple, institutions and hedge funds are going to support this stock and keep it from falling below $79. Just make sure you own some before they battle to own this stock; it’s going to trade above $85 by the end of the July.

Take a look at how bulls won the battle in today’s trading session. That’s certainly a bullish sign that should give confidence to long-term investors.

Filed under: Fundamental Research