RE:Dare I ask?
In addition to what other posters replied, keep in mind that there has been some heavy selling recently, apparently from some larger funds unloading positions and/or playing the trading game.
The past several trading days have been very positive as far as news goes (great CC last week, Bloom Burton investor conference May 4, Midas Letter, thumbs up from various analysts, and CEO on BNN tonight) which may very well buoy investor confidence and bring in a new batch of investors over the coming weeks. That said, who knows what will happen; we could be stuck in a trading range for a while (as gibbons suggested), see another short attack, experience a market correction, etc., etc.
If you're buying today to sell in a year or two, this is almost certainly a good entry, unless you believe that the bull market will turn bear and/or that this company will suddenly trip over its own feet. That's the beauty of the markets; you have the opportunity the capitalize on inefficiencies and irrationalities.
Yes, the LOI could fall through, but -- as others have mentioned -- it's unlikely. Similarly, they have so many other deals lined up that it seems foolish to discount those to $0. There are certainly other risks (e.g. cuts to MediCare hurting revenues, especially if Republicans come to power) but that's part of the game.
Andrew12345 posted an easy-to-understand valuation.