thedba wrote: »
I for one, do not think that the announcement of new iPhone/iPad models is the only news here.
Maybe Apple finally got China Telecom and its potential 700 million customers on board. Just think that 5% of 700 M is 35 M.
paul94544 wrote: »
I think Icahn has a valid point
It makes sense to borrow money at 3% to buy back stock and push the share price up to $600
Buy $100B worth of shares at 3% costs 103B over a certain term
According to my calculation if share price goes to $600 thats a 9% gain based on an average buying price of 550 ie 50/550
thats about 9% "profit" on a total purchase of 100Billion. That is called a no brainer!
what is the money doing offshore? I don't think it is making 9% now is it?
The point is that they can leverage it to make more money by borrowing and using offshore cash as collatoral, 100B at 3% or less - and pay the principle off at 3% over a number of years. i.e use future profits to pay the loan which is also before taxes I believe? Basically the cash hoard can be reduced and the benefit is to stock price is kept really high and it makes the company more attractive to investors
I am glad I bough in at $400 when almost everyone here said I was crazy.....
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HA HA H AH AH AH A HA HA HA H AH AH!
jragosta, have a look at this one! BA HA HA!
lol.. that is right. Don't invest in ANY company making profit and doing any profit sharing. /s