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+--- Thread: What you think about apple versus Icahn (/showthread.php?tid=304)
What you think about apple versus Icahn - Markrichard - 12-09-2013
In past Week there were a news about wall street's one of the most capitalized investor, Carl Icahn versus Apple Inc. Carl attached on Apple's corporate board saying that he has submitted a proposal to Apple Inc. that would allow the company's shareholders to vote on his ideas early next year. The announcement came on Icahn's own Twitter account. Moreover he tried to pressure the company on spending more of its cash to buy back the company's stock.
I would be happy to gather what thoughts you can give on the whole scenario or is there a way apple can escape itself from all this stuff as Carl Icahn is a big name in US's Stock Market.
RE: What you think about apple versus Icahn - TomK - 12-09-2013
He is a big name, it is true, but Apple is far bigger. I think a lot of Apple shareholders would favor more return of the cash pile through dividends and buybacks. But I suspect even more of them would acknowledge that Apple is already moving in the right direction there and would be inclined to defer to the company. Especially with the share price moving in the right direction again.
RE: What you think about apple versus Icahn - fiveoh - 12-09-2013
(12-09-2013, 11:15 AM)TomK Wrote: He is a big name, it is true, but Apple is far bigger. I think a lot of Apple shareholders would favor more return of the cash pile through dividends and buybacks. But I suspect even more of them would acknowledge that Apple is already moving in the right direction there and would be inclined to defer to the company. Especially with the share price moving in the right direction again.
As an AAPL shareholder, I agree with Tom. I don't trust Icahn and as long as AAPL keeps their DGR fairly high, I'm happy. Apple knows best what to do with its cash not Icahn.
RE: What you think about apple versus Icahn - TomK - 12-10-2013
Here is a good short article by Matt Yglesias on the subject. It concludes:
Quote:Cook’s instinct—that just throwing it at Icahn doesn’t accomplish anything—is sound. But you can’t sock away endless billions and not expect people to come after it. You either need to invest the money in something real or stop soaking it up so quickly by cutting prices. Either option, or some combination of the two, would be better for Apple’s long-term future and better for the world economy.
RE: What you think about apple versus Icahn - Markrichard - 12-11-2013
That article was a good read Thanks for it TomK. I do agree with both of you as shares prices are moving in right direction so it would probably not influencing other fellow investors as much as Carl would have expected. As you said Apple know better ways to utilize their money. But think Carl is also not an inexperience guy, he has shown his caliber in past in case of Dell. Simply Do you think Carl will be Targetting Apple on the behalf of such investors who looks to earn long term gains not just the dividend money? or Will they be happy with the decision of buy back.
RE: What you think about apple versus Icahn - ChadR - 12-13-2013
Being an Apple shareholder, I would much rather Tim Cook use the money to increase the dividend instead of buybacks. Though raising the dividend significantly will get the rise in stock price that Icahn wants, but probably not as fast as he would like.
RE: What you think about apple versus Icahn - Markrichard - 12-18-2013
(12-13-2013, 10:46 AM)ChadR Wrote: Being an Apple shareholder, I would much rather Tim Cook use the money to increase the dividend instead of buybacks. Though raising the dividend significantly will get the rise in stock price that Icahn wants, but probably not as fast as he would like.Yes, I do agree on that it would also raise the price of Apple's stocks but it will be a steady and firm way. I guess sometime people pretends to support a community while keeping their self's in mind too. The Great thing is that people follow them also. Thanks to Us all, not doing it right now.
RE: What you think about apple versus Icahn - Geezer - 12-31-2013
Dec 16 issue of TIME Mag ran an article "MASTER OF THE UNIVERSE, Why Carl Icahn is the most important investor in America" It is a good read.
The sub-title is "the original WOLF OF WALL STREET. And for good reason.
These people are now called "Share holder activists", who were previously known as "Corporate Raiders." You determine what the name implies.
Back in the 70,s and 80,s they would target companies whos asset book value was far less than perceived market values, quietly buy up controling interest, and load the board of directors with their reps. If I remember correctly, they especially liked companies which had fat accrued pension assets.
Cracker Barrel is presently facing this again. As is Darden restaurants.
IS THIS GOOD OR BAD? Not for me to say. 'but I hardly think they hsve the long term welfare of the company as their goal!
RE: What you think about apple versus Icahn - Markrichard - 01-03-2014
Hmm, i guess this is based on the same basic concept as some say dividends are good to get while other deny this and state it quite bad for national economy. I think it will remain a matter of debate that Stock BuyBack is good or not in all perspects (individual, company, and economy).