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  • Icahn drops Apple buyback proposal [View news story]
    Omni, when a company buys backs its shares, it reduces the float (shares available for trading) and has two effects: 1) it inflates the EPS by reducing the denominator. 2) it decreases the supplies of shares available to trade and thus prop the stock price up.
    Because of the buy-back, EPS for last quarter was 14.5 (but would've been 14.09 without) The float is now 890.8M shares (but it used to be 950+M)

    Had they made acquisitions instead and overpaid like most companies, especially ones that has very little synergy with its current operation (Netflix being one), it actually decrease the stock value because market will still evaluate Apple's current (low) PE even after it acquired a high-PE stock like Netflix.
    Feb 10 11:44 AM | 3 Likes Like |Link to Comment
  • Apple: Every Vote Counts [View article]
    I'm with the author (and Icahn) and plan to vote FOR the buy-back proposal. This proposal (along with one other proposal) are "advisory vote" and does not force the board to do any additional stock buy-back. In fact, it is only so that the shareholders' voice can be heard. Given the poor performance of the stock relative to the market, and in light of the 50+ point plunge this week, I'm sure most shareholder will want the board to take notice of shareholders' discontent and be more proactive in increasing shareholder value.
    Jan 31 12:49 PM | Likes Like |Link to Comment
  • AAPL Update - No Emotions Please [View instapost]
    So the "51M iPhones sold vs. 55M expected" was the reason for the sell off. But the reasons given in the conference call were 1) carriers policy on phone upgrades in the USA, 2) mix of more 5S and less 5C demanded causing supply imbalance on 5S.

    I think the sell off is overdone.
    Jan 28 03:21 PM | 1 Like Like |Link to Comment
  • Icahn discloses fresh Apple purchases, makes renewed buyback call [View news story]
    Buy-back and the prudent use of debt is a good way to optimize the WACC (weighted average cost of capital) whereas a company with little to no debt is actually misusing its financial resource.

    The "threat" of a buy-back should keep the bears and short-sellers on the side-line and if the PE multiple does not expand over time then buy-back will reduce enough float to force an expansion.

    Apple should first open a credit line to ready itself for additional debts to buy-back shares, lobby the US government for a tax reprieve on foreign fund repatriation, then repatriate to pay down debts later.
    Jan 22 12:20 PM | 8 Likes Like |Link to Comment
  • Icahn discloses fresh Apple purchases, makes renewed buyback call [View news story]
    Apple now has iPod, iPad, iPhone, iBond, iEinhorn, and now iCahn.

    With this vast product portfolio, who care about iWatch or iTV.
    Jan 22 11:17 AM | 12 Likes Like |Link to Comment
  • Apple lower amid report of muted China Mobile demand, price concerns [View news story]
    Thanks Nickysg for that info. There are just so many incorrect/dishonest articles such as this NYT, as well as analyst downgrades with reasoning that are poor beyond believe.
    Jan 21 02:18 PM | Likes Like |Link to Comment
  • 3 Major Catalysts For Apple In 2014 [View article]
    One more catalyst: Although it's already announced, no one is talking about the automobile integration of Apple products. This will further solidify customer's willingness to stay with Apple products and even buy more because many spend a lot of time inside their car.

    Also, the mark-up on factory options is very high and someone (either the dealers and/or Apple) will benefit on the margin side.
    Jan 17 12:57 PM | 1 Like Like |Link to Comment
  • Apple iPhone goes on sales at China Mobile [View news story]
    Also, there's a MLK holiday on Monday, and buying pressure usually builds up and most stocks (not just Apple) tend to pop on Tuesday if there's no bad news over the long weekend. Also, given the earning announcement on 27th, Apple "should" correct upward in anticipation of excellent earning and guidance.
    Jan 17 12:00 PM | 1 Like Like |Link to Comment
  • Tim Cook to meet Samsung CEO over patent claims [View news story]
    Hoax. Don't believe everything you see on internet : )
    Samsung still haven't paid their $1B and won't pay until they've exhausted ALL of their appeals and delay tactics. But accrued interest still apply unless judge voids it.
    Jan 9 11:39 AM | Likes Like |Link to Comment
  • Apple cut to Sell at Standpoint over moral reasons [View news story]
    Just watched the CNBC interview...
    Wow, what an angry person!! You can almost see the veins popping out of his bald head. I'd hate to be in the same room with him because I'd be afraid of my own safety. Anger management class recommended for this guy.

    Melissa Lee (the news anchor) simply took down his $2/hour argument with a simple math and he couldn't even defend his own assertion.
    Jan 8 12:08 PM | 1 Like Like |Link to Comment
  • Apple: Panic Time Already? [View article]
    The market has priced in the CHL deal and it valued the deal at $0 Looking at the market price because Apple stock is now around 540, which is about the same as before the deal was officially announced.
    Jan 7 12:25 PM | Likes Like |Link to Comment
  • Why Apple's Recent 'Analyst Downgrade' Is A Farce [View article]
    @Xvansan: I disagree. Market makers do not care about stock's direction, and they'd be dumb to spend their own money to get it to go down that many strikes, just to get the Jan17 515 calls to expire worthless.
    But toward COB on Fridays, I'm a strong believer that the market makers will inadvertently move the stock price enough to pin toward a strike price, and it happens almost every week. It is "inadvertent" because market makers simply hedge positions as retail investors close their options positions before expiration, using more options and stocks create synthetic put/call.
    Jan 6 02:04 PM | 1 Like Like |Link to Comment
  • Apple cut to Sell at Standpoint over moral reasons [View news story]
    I thought that the analysts are suppose to do some research before they publish recommendations? Everyone knows that Apple subcontracts Foxconn, Samsung and many others to do their manufacturing and does not directly control laborers' wages. And even so, Apple went out of its way to indirectly influence Foxconn into improving work condition and pays.

    Also, "moral reasons"? This guy really did not think it through...
    Jan 6 01:01 PM | 1 Like Like |Link to Comment
  • Apple Screwed Up Big Time [View article]
    Its on the fourth paragraph of author`s article where it said (compare here)
    Jan 3 01:27 AM | Likes Like |Link to Comment
  • iTV Will Boost Apple [View article]
    Even though there are lots of speculations about iTV, Apple has NEVER EVER in its announcements even hinted that it will produce it. iTV is a vaporware, at best.

    Your chart on "US TV statistics" shows that TV watching actually declined slightly, which is the same trend as radio and print, but what you neglected to mention was that the Digital-mobile usage skyrocketed. If anything, this tells us that Apple is better off focusing on its mobile strategy instead of the iTV.
    Jan 2 03:46 AM | Likes Like |Link to Comment