Investor Carl Icahn to Have Dinner With Tim Cook, 'Magnitude' of Share Buyback to Be Discussed

Discussion in 'MacRumors.com News Discussion' started by MacRumors, Aug 22, 2013.

  1. macrumors bot

    MacRumors

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    Activist investor Carl Icahn, who now discloses material information via Twitter, tweeted today that he and Apple CEO Tim Cook will be having dinner together in September to discuss Icahn's desire for Apple to increase its share buyback.

    Icahn recently purchased more than $1 billion in Apple stock and believes the company is 'extremely undervalued'.
    Earlier this year, Apple increased its capital return program to more than $100 billion via increased share buybacks and dividends, and issuing bonds for the first time in over a decade.

    Article Link: Investor Carl Icahn to Have Dinner With Tim Cook, 'Magnitude' of Share Buyback to Be Discussed
     
  2. macrumors member

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    #2
    Buy shares, ask the CEO to raise the price, sell shares. Hmm...
     
  3. macrumors 6502a

    ZacNicholson

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  4. macrumors 68020

    Squilly

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    #4
    Damn. And someone paid more than $500,000 just to have a cup of coffee with him let alone dinner.
     
  5. macrumors P6

    Peace

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    #5
    Huh ? How is he asking Apple to raise the price ?
     
  6. macrumors 65816

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    #6
    Well.. this guy paid a BILLION!! That's quite a jump from coffee to dinner... :D
     
  7. macrumors member

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    #7
    Icahn is not our friend

    You realize, I hope, that Icahn is speaking publicly like this to try to force Apple to increase the buyback.

    He is not a friend to Apple. Icahn has purchased a billion dollars worth of Apple stock. He wants the value of that stock to increase by some significant percentage (20%, 50%) very quickly, so he can sell it and make a buck. If things don't go his way, he'll do anything to Apple to force the issue. That's how he operates. He's not about creating long-term value or companies that are healthy over the long term.

    By publicly creating the hope and expectation of a bigger buyback, he increases pressure on Apple to make a bigger buyback, whether or not that's fundamentally good for the company. Icahn creates the possibility of shareholder discontent in the absence of an increased buyback.
     
  8. macrumors 6502

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    #8
    Yeah...but will Tim put out on the first date ????? :D
     
  9. macrumors 6502

    FirstNTenderbit

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  10. macrumors 68000

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    #10
    I cannot fathom wanting to do these things over dinner. Why eat at these things. That always bugs me.
     
  11. macrumors 68020

    keysofanxiety

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    #11
    Well, IMHO he's right about Apple stock being undervalued.

    And I can't comment on how he chooses to spend his money, because I'm fairly short of having $1 billion burning a hole in my pocket. :D
     
  12. GSPice, Aug 22, 2013
    Last edited: Aug 22, 2013

    macrumors 68000

    GSPice

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    #12
    Icahn has influence?

    I guess it makes sense..

    [​IMG]
     
  13. macrumors member

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    #13
    right in the middle of a Nasdaq system failure... imo they will halt Apple until tomorrow on fear of huge volume at open this afternoon.
     
  14. macrumors 65816

    Risco

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    #14
    Let's just hope he is not trying break Apple down to 1990's level….
     
  15. macrumors 6502a

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    #15
    Business as usual on Wall Street.
     
  16. macrumors 65816

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  17. macrumors 68020

    Squilly

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    #17
    In hopes of ROI. Even though the $500,000 went to charity, there's no ROI on that (other than maybe taxes).
     
  18. macrumors 601

    BornAgainMac

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    #18
    I thought that man looked familiar. He was in Star Wars.
     
  19. macrumors 6502

    seamer

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  20. macrumors P6

    IJ Reilly

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    #20
    Insert generic conspiracy theory rants here: _____________
     
  21. macrumors 68040

    Dwalls90

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    #21
    Exactly. There's a reason he's renowned as being controversial.

    There must be SEC limitations in place here. Shareholders shouldn't have manipulation ability to change stock price in a volatile sense such as this.
     
  22. macrumors P6

    IJ Reilly

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    #22
    The rest of us buy Apple stock to frame it and put it on our walls.

    Apparently.
     
  23. macrumors regular

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    #23
    Too bad any limitations won't matter.

    If the SEC did their job Madoff would never have run a 50 billion dollar ponzi scheme, for over a decade, after being warned repeatedly about it.

    The SEC is a joke on wall-street.
     
  24. macrumors 6502a

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    #24
    "Icahn's desire for Apple to increase its share buyback." Share buyback => raised price. Either he wants to make a quick buck by selling soon, as some have said here, or he genuinely thinks that Apple is undervalued and can prosper long-term.

    I had no idea what his plan was, but now that he's talking with Tim Cook to buy back shares, I'm getting suspicious.
     
  25. macrumors 601

    BornAgainMac

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    #25

    Insert generic conspiracy theory rants here: __Steve Jobs never died. He is Steve in Disguise___.
     

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