Thu, Dec 25, 2014, 5:37 AM EST - U.S. Markets closed for Christmas


% | $
Quotes you view appear here for quick access.

Apple Inc. Message Board

  • eyesandears51 eyesandears51 Jan 29, 2013 9:59 PM Flag

    Let's Polish the AAPL

    The following analysis transcribed from another message board may provide some options for value enhanced at Apple....
    " Action to relieve sharehoder pain, and long term value creation for the company are not imcompatible. Apple has approximately $ 40 billion in cash. Put in context this is equivalent to nearly two years of my home state of California's peak annual budget deficit. While some in California might appreciate a donation to the State, resulting in two years respite from income tax, a broader spectrum of Apple shareholders would benefit from a more productive use of assets than mere cash husbandry. Some, or a combination of the following alternatives, could satisfy the dual objectives. 1- Allocate 5%, or $ 2 billion to doubling the dividend, boosting a modest 2.4% yield to an attractive 4.8%, compensating investors, while waiting for a stock moving catalyst, likely in a quarter or two. This action has the tertiary benefit of assuring that the 1.9% short percentage of float remains low. 2- Announce a large multi-year stock buy back, far greater than the current amount that basically replacies shares granted to employee's. 3- Engage in significant and transformative M&A's, adding sustainable value when combined with Apple's large ecosystem. Twitter has been mentioned by many, but also consider Netflix, or more importantly Disney. Disney Chairman/CEO, Bob Iger, is near retirement and sits on the Apple Board. International acquisitions should aslo be considered, obviating the cost and complexity of cash repatriation. 4- Invest in a major expansion of the services business. Examples include, replacing the very high cost " phone subsidy ", business model tolerated as a necessary but unwelcome evil by worldwide carriers, with a revenue sharing program. This can change the dynamic where carriers prefer and promote " lower subsidy " smart phones based on Android, RIM, or Microsoft, operating systems. Apple has targeted China and the developing world, where Android's market share is large and growing, as a key revenue driver. The high cost of " carrier subsidies " is the most significant barrier to Apple Smart Phone adoption in these markets.

    SortNewest  |  Oldest  |  Most Replied Expand all replies
112.01-0.53(-0.47%)Dec 24 1:00 PMEST

Trending Tickers

Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.
Yahoo! Inc.
NASDAQWed, Dec 24, 2014 1:00 PM EST
CalAmp Corp.
NASDAQWed, Dec 24, 2014 1:00 PM EST