Near as I can tell, it amounted to about 70m shares or 7% in the past 3+ years.How has Apple's stock buyback worked out so far?
Near as I can tell, it amounted to about 70m shares or 7% in the past 3+ years.How has Apple's stock buyback worked out so far?
Apple was never valued at a growth company. Companies like NFLX, AMZN, FB, LKDN are examples of growth stocks trading at growth stock values - even GOOG trades at a growth stock (albeit, a conservative one).
AAPL earns 44 dollars per share with growing revenue and earnings. I think this fact is lost whens saying that 430 is the new norm.
My initial attraction to AAPL was that it was a growth stock trading at a blue-chip valuation.
I don't get it. What if you don't want to sell your stock? Is a buyback optional? I don't get why shareholders would benefit from this.
AAPL really is a bargain right now....if only I had $40k to throw around.
Wow! Stock has terribly collapsed after Steve's passing.
What did SJ had that kept stock going up?
Wow! Stock has terribly collapsed after Steve's passing.
What did SJ had that kept stock going up?
Wow! Stock has terribly collapsed after Steve's passing.
What did SJ had that kept stock going up?
And PEG ratio too.P/E is still very low, even for a non-growth company.
I don't get it. What if you don't want to sell your stock? Is a buyback optional? I don't get why shareholders would benefit from this.
You don't have to sell. Apple buys AAPL from people that want to. It benefits the shareholders in the following ways, all of which tend to drive up the price of the stock:
- By creating additional demand
- There are fewer shareholders to split future earnings
- If Apple knows its shares are undervalued, it's a good investment for themselves
- If people believe that Apple thinks it's a good investment, it improves their perception.
[url=http://cdn.macrumors.com/im/macrumorsthreadlogodarkd.png]Image[/url]
Quartz reports that Apple is moving closer to announcing a plan to return additional value to shareholders, likely acting "this spring" to either increase its dividend or repurchase additional stock from investors. The move comes amid increased public scrutiny of Apple's plans for its cash as vocal hedge fund manager David Einhorn has been pressing the company to return more money to investors.Apple's existing plan announced a year ago involves a quarterly $2.65 per share dividend and a $10 billion stock buyback program intended to offset the issuance of new shares for employee compensation. That plan was projected to cost Apple $45 billion over three years, but the company's cash holdings continue to grow.
Just last week, Warren Buffett suggested that a stock buyback would offer the biggest impact for Apple given the fall in the company's stock price from a high of over $700 last September to $430 today. As long as Apple believes that its stock is undervalued at current prices, Buffett argues that if the company can "buy dollar bills for 80 cents, it's a very good thing to do."
Quartz's report suggests that an announcement regarding additional dividends or stock buybacks could come alongside a product launch, although Apple's plans for any potential product-focused events over the next few months remain murky. Apple would also likely prefer to separate any financial discussions from a product launch, giving full focus to the new products while scheduling a separate conference call focused on investors and analysts to discuss its cash plans as it did when it announced the current program last year.
Article Link: Apple Reportedly Preparing to Announce Larger Dividend or Stock Buyback
No brainer. Listen to Buffett.
I would imagine that any news in this regard would give a boost to the stock. Which wouldn't hurt.
Let's keep this simple. The next AAPL conference call is in late April, about a month away.
The next known product lunch date is WWDC early June.
Wow! Stock has terribly collapsed after Steve's passing.
I remember when Apple was a computer company, making Macintosh computers. Using your logic, they were doomed to stagnate forever as a computer maker.
Then came the iPod, and Apple became a music company (and had to settle with that other Apple over the rights to use the name). Then came the iPhone, and Apple became a smartphone company.
They didn't have your attitude, so they weren't content to muddle along and accept the failure to grow as inevitable.
I still think Jobs had the right idea. No dividends. Cook shouldn't have caved.
Now Wall St knows he's their bitch and they'll manipulate the stock price to get Cook to roll over and eventually play deadbecause, let's face it, those hippies aren't members of Wall St's club.
So I'm left with two options
- this is another effing stupid Apple rumour, like NFC in iPhones, and I can just ignore it
- buy back, now!
I'm fine with either option. Stock price has nothing to do with company performanceit's big boys' gambling with the fate of companies. If Cook let's stock price control Apple, it's all over.
And we won't even be able to buy knock-off Samsung phones, because all they'll have to steal from is Windows phone
Would a stock split /10 be a good idea? This and a higher dividend would do the trick i think.
We can't expect for Apple to grow as hard as it did i guess.
Not really, it was just ridiculously overvalued recently. They were a bargain 10 years ago.
Apple stocks were ridiculously overpriced previously. This is the new norm. If I had money to spare, I would buy it at this price and hold. It a good deal and they are not going anywhere soon. But they are no longer a growth company. Nothing they come up with now will be revolutionary. Its the inevitable life cycle of a company.
U live in lala land!I don't know about Cook. What has he done?
iOS 6 - meh. Maps disaster.
iPhone 5 - Not bad. Probably had nothing to do with that.
iPad - new connector, P'O'd iPad 3 buyers.
Gave employees extra benefits, gave to charities.
Gave back dividends.
And on top of it all, can't run the supply chain for squat apparently as they didn't have iMacs available for 4 months while people want them.
Nothing special. Nice guy though. I guess.
Not really, it was just ridiculously overvalued recently. They were a bargain 10 years ago.
I don't know about Cook. What has he done?
iOS 6 - meh. Maps disaster.
iPhone 5 - Not bad. Probably had nothing to do with that.
iPad - new connector, P'O'd iPad 3 buyers.
Gave employees extra benefits, gave to charities.
Gave back dividends.
And on top of it all, can't run the supply chain for squat apparently as they didn't have iMacs available for 4 months while people want them.
Nothing special. Nice guy though. I guess.