Apple's Share Price Hits $100 for the First Time Since June Stock Split

Discussion in 'MacRumors.com News Discussion' started by MacRumors, Aug 19, 2014.

  1. macrumors bot

    MacRumors

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    Apple today saw its stock hit the $100 mark for the first time since its seven-for-one split that took place in early June. Following the split, Apple was trading at roughly $92 a share, but since that time the stock has trended upward until hitting the $100 mark today.

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    The company is also very close to an all-time high stock price, accounting for the stock split. Apple's all-time intraday high was set on September 21, 2012 at $100.72 ($705.07 on a pre-split basis), and the all-time high closing price was set just a few days earlier on September 19 at $100.30 ($702.10 pre-split).

    Even as Apple sits at almost record high share prices, the company is not ready to set a new high for overall market capitalization, which is calculated as the share price multiplied by the number of shares available. That is due to Apple's aggressive stock buyback program that has seen the company reduce its share count by almost 600 million over the past two years.

    The move is intended to boost value to investors by reducing share supplies while also putting to use some of Apple's vast cash holdings. Much of the share repurchase program is, however, being financed by low-interest debt, as the majority of Apple's cash is currently held overseas, and it would be considerably more expensive for Apple to pay required taxes on that cash to bring it home for domestic uses than to simply pay for the repurchase program out of its ongoing domestic earnings over time where tax is already being paid.

    The repurchase program has also signaled to investors that Apple has believed its stock to be undervalued, demonstrating the company sees purchasing its own stock as a better use of cash than other investment opportunities. And finally, reducing share counts also eliminates future dividend payments that would have been made on those now-retired shares, providing an additional financial benefit to the company.

    Update 1PM PT: Apple's stock price closed at an all-time high of $100.53, breaking its previous closing high of $100.30 ($702.10 pre-split) set on September 19, 2012.

    Article Link: Apple's Share Price Hits $100 for the First Time Since June Stock Split
     
  2. macrumors 6502a

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    #2
    Can't wait to see where the price goes after the iPhone 6 launch weekend.
     
  3. macrumors 6502a

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    Dec 30, 2007
    #3
    GTAT is also chugging along... :)
     
  4. macrumors P6

    IJ Reilly

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    Normally I don't look at stock tickers but I just happened to be in my portfolio when the ticker for AAPL bumped to $100.00. It's been running between $99.97 and $100.00 for the last fifteen minutes or so without ever getting to $100.01. Okay, so this is an excellent reason for NOT looking at stock tickers.
     
  5. macrumors 65816

    luckydcxx

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    #5
    I guess Tim does know what he is doing ;) :apple::)
     
  6. macrumors 68020

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    #6
    September thru December is gonna be great for Apple, just hope it's great for AAPL too.
     
  7. macrumors 68000

    RoastingPig

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    #7
    there we go aapl daddy needs a new jet ski
     
  8. macrumors 65816

    TouchMint.com

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    #8
    Yay for me since I bought at split. Woulda been real excited if I got it when it was in the low 400s :/
     
  9. macrumors G5

    Rogifan

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    #9
    Why do I get the feeling this is a run up to an eventual sell off when the new iPhone is announced. The old buy on the rumor sell on the news.
     
  10. macrumors newbie

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    #10
  11. macrumors 6502

    a.roden

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    #11
    [​IMG]
     
  12. macrumors 6502a

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    #12
    Damn, just sold few hundred share a month ago.:eek:
     
  13. macrumors 65816

    MacSince1990

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    #13
    Why is this news?

    Also, sold at 100.
     
  14. macrumors P6

    IJ Reilly

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    #14
    This old saw never fails to amuse. So, under this scenario, what is the rumor, and what is the news?
     
  15. macrumors 68000

    Crosscreek

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    #15
    Must be that best product pipeline in 25 years. :rolleyes:
     
  16. macrumors 6502

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    #16
    The iPhone 6 launch is already priced in to today's selling price, so the announcement probably won't budge the stock price much (just as previous iphone announcements didn't affect stock price very much). Just look at the history. The stock prices after the first couple weeks of past Septembers were sometimes up a little, sometimes down a little. No real pattern and no drastic movements either way.
     
  17. macrumors 6502a

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    #17
    Because its back up $700 (pre split price) and getting close to its all time high.
     
  18. macrumors G5

    Rogifan

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    #18
    Rumor? Everything we're hearing about iPhone and "iWatch". Let's say there aren't two new phones and no sapphire display. Let's say all we get is 4.7" model with improved camera and Touch ID. And no wearable yet. I could see the stock selling off on that.
     
  19. macrumors P6

    IJ Reilly

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    #19
    Exactly. The iPhone 6 is hardly a mere rumor at this point. Sales are already being modeled into Apple's earnings, though that would be mainly for Q1 2015.
     
  20. macrumors newbie

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    #20
    Who took that screenshot on a Windows PC?!
     
  21. macrumors 65832

    Tankmaze

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    #21
    This kinda thing always happen in august - September when apple would surely introduce new iPhone. Great to see apple stock rise again.
     
  22. macrumors 6502

    Joined:
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    #22
    AAPL keeps beating the Dow and S&P which is a gr8 sign of a quality stock, but AAPL is just as vulnerable as other stocks in the major indexes. So be weary of an impending market correction, as the overall market bubble has to deflate sometime (probably not till the dow is at 18k or so, although obviously nobody can time it precisely).
     
  23. macrumors 601

    Plutonius

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    #23
    It will go down. People are pumping this stock to get it as high as possible so they can short it just before the launch. Even if the iPhone 6 is an excellent product and the launch goes smoothly, you will see lots of negative articles and the price will go down.
     
  24. macrumors newbie

    Joined:
    Dec 18, 2012
    #24
    Wrong.

    Apple bought back billions of dollars worth of stock since Sep 12. Hence, the all-time high is closer to $110 with the shrinking outstanding share number, not $100. I don't know why the financial media (and Macrumors) disregard such a trivial and obvious fact.
     
  25. macrumors 6502

    Joined:
    Sep 22, 2009
    #25
    Erik: Good job with that article. Well written covering all the bases especially the fact that while the price is nearing the all time high, the market cap is not.
     

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