# Berkshire is buying Taylor Morrison at a fat premium — grab the deal gap before it closes

_AI-generated trading idea · LONG · TMHC_

> Canonical page: https://commonquant.ai/research/for-you/berkshire-is-buying-taylor-morrison-at-a-fat-premium-grab-th--2102265d-7da2-4ee2-97df-a6b980daf618

Berkshire Hathaway, Warren Buffett's company, is buying home builder Taylor Morrison for $72.50 per share in cash — a 24% premium above where the stock closed on Friday.

## Idea

When a cash buyout is announced at a premium, the target stock usually jumps but often stalls just short of the offer price because there's a small chance the deal falls through. Taylor Morrison is being bought at $72.50, but the stock may open somewhere below that level, leaving a gap you can capture. Berkshire Hathaway is one of the most reliable acquirers on the planet — the risk of them walking away is very low. If shares trade at, say, $70, you could pocket roughly $2.50 per share when the deal closes, plus any dividend-like return while you wait.

## Key details

- Symbols: TMHC
- Timeframes: 1D
- Tags: \#ma\_deal, \#housing, \#value

## Community

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## News sources

- [Berkshire Hathaway to Acquire Taylor Morrison in a $6.8 Billion Deal](https://www.bloomberg.com/news/videos/2026-06-01/berkshire-hathaway-to-acquire-taylor-morrison-for-6-8b-video) — Bloomberg

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