Apple (AAPL_) has completed one of the biggest share repurchases in U.S. corporate history, after buying back about $16 billion in shares during its fiscal third quarter. That would be about 4% or 38 million shares.
It will be filed with the SEC tomorrow. Well it was filed today, but not public until after the earnings call. It does look like a lot of shares, at least 23 million in the quarter and 11 million for the coming quarter, which means they are really burning through the amount allocated for the buyback (17 of the 60 billion has already been used or allocated). The big question is that desperation to inflate the falling EPS or does the fall and 2014 hold such great products that the low 400s will look cheap in retrospect.
Of course that saves them an extra 69 million in dividend payments in August, but that is a pretty trivial number in the grand scheme of things for Apple.
Peter Oppenheimer - SVP and CFO: Well, all that is on the income statement. So you've got the ending basic and diluted. But let me give you a couple of points that I think could be helpful for you. During the June quarter we concluded the first $2 billion ASR program that we started in December and then we so we got the final shares in on those. And we did our second ASR program of $12 billion that started at the end of April and we received 23.5 million shares initially on that, and as I went through in my prepared remarks fiscal '14 that program will close and we'll get the final number of shares. We also bought (indiscernible) of stock in the open market during the June quarter and received about 9 million shares. So the impact of those in the June quarter lowered our diluted share count in the quarter by about 22.9 million shares and as you look forward into the September quarter, before any further buybacks or any issuance to employees we would expect to see an additional approximate 11 million share benefit from the things that occurred during the June quarter.
they are definitely desperately trying the best to purchase as many as possible while our longs are suffering the lower-low everyday the past month:-) hope they are not going to use the same tactic the next couple months.
Best answer so far in gathering info is about 23 million shares = about $10 Billion is cost. Do you think this is correct? This means their average buy back per day has been around 380,000 to 385,000 shares bought every day the market has been open over the past 3 months. Would you agree?
U got to laugh... This is a very important figure yet Wall St has no clue. Why should we listen to them regarding anything else?
I hope they are buying shares like crazy at these prices.
It would be great to know what the avg price is up to now.