I have to show you these stats. They will blow your mind and you'll see them no where else.
1) THE LOW ESTIMATE FOR APPLE REVS IN FISCAL 2013 IS 170 BILLION(GIVE OR TAKE A BILLION)
2) THE LOW ESTIMATE OF MARGINS IS 35%
3) THAT PUTS FREE CASH FLOW AT 59 BILLION FOR THIS YEAR.( 170 X 35) MINIMUM.
4) IF APPLE WERE TO DOUBLE ITS DIVIDEND IT WOULD COST 20 BILLION A YEAR.
5) IF APPLE JUST MAKES THE MINIMUM ESTIMATES IN REVS AND MARGINS AND 35% OF THAT COMES FROM THE U.S IT COULD DOUBLE THE DIVI WITHOUT TOUCHING ANY CASH ON HAND OR REPATRIATING ANY MONEY FROM OVERSEAS.
(59B X 35% US = 20.65 BILLION )
What is not to like here about this situation and what is the excuse for not increasing the divi significantly.? There is none so if you are betting like the options market that they will only modestly increase the divi if at all you read this and use your best judgement.
KoKo I didn't account for taxes but all other expenses are taken into account by margins unless there is some change in accounting I am not aware of. I also used conservative estimates that equaled the lowest forecast.