Google chief shares kind words on Apple

Posted:
in General Discussion edited January 2014
In an interview with Time Magazine, Google chief executive Eric Schmidt shared some of his views on Apple Computer and noted that his newfound commitment to the company is a personal one.



"This is a personal thing," Schmidt said of his recent appointment to Apple's board of directors. "If you're a director, it's a personal commitment. Apple is an innovator in its own space."



"Apple is engaged in probably the most remarkable second act ever seen in technology," he added. "Its resurgence is simply phenomenal and extremely impressive."



Asked whether he'd like to see more partnering between Google and Apple, Schmidt said, "Well of course, but we're already partnered with them."



Upon joining Apple's board this past August, Schmidt declined 30,000 stock options offered to him as a new director, saying he would instead buy shares on the open market.



According to filings with the Securities and Exchange Commission, Schmidt purchased 10,000 shares of Apple common stock on September 7, at prices between $69.67 and $70.05 a share.



He now owns a total of 11,561 shares in the Cupertino, Calif.-based company.
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Comments

  • Reply 1 of 32
    So If he already had 1,561 shares prior to this purchase, he already had almost $110,000 worth of AAPL stock.

    Now he has over $800,000 worth of AAPL stock.



    He must have a pretty strong outlook on Apple.

    http://www.stocktargets.com/cgi-bin/...l?command=AAPL
  • Reply 2 of 32
    And why shouldn't he? Oh, yes, because Apple is completely failing in the MP3 player space...
  • Reply 3 of 32
    Quote:
    Originally Posted by SpamSandwich


    And why shouldn't he? Oh, yes, because Apple is completely failing in the MP3 player space...



    Just wait until the Zune comes out...





    Buh... Buhuh... BWAHAHAHAHAAHAHAHAHAHAHAAHAHAHHAHAHAAH!







    I couldn't even say it with a straight face.
  • Reply 4 of 32
    Quote:
    Originally Posted by Johnny Mozzarella


    Now he has over $800,000 worth of AAPL stock.

    He must have a pretty strong outlook on Apple.



    Also of note, he is a billionaire.
  • Reply 5 of 32
    Quote:
    Originally Posted by cactus


    Also of note, he is a billionaire.



    Yes, 800,000 / 4800000000 = 0.000166666667



    So it is less than 2 ten thousandths of his net worth, hardly enough to make any kind of noticeable difference no matter what happens to apple. 50 million would be about 1% of net worth for him.
  • Reply 6 of 32
    maccrazymaccrazy Posts: 2,658member
    Quote:
    Originally Posted by MacCentric


    Yes, 800,000 / 4800000000 = 0.000166666667



    So it is less than 2 ten thousandths of his net worth, hardly enough to make any kind of noticeable difference no matter what happens to apple. 50 million would be about 1% of net worth for him.



    Imagine $50 million being 1% of your net worth - that's incredible!
  • Reply 7 of 32
    Quote:
    Originally Posted by BigMcLargehuge


    Just wait until the Zune comes out...





    Buh... Buhuh... BWAHAHAHAHAAHAHAHAHAHAHAAHAHAHHAHAHAAH!







    I couldn't even say it with a straight face.



    Zune Schmune!
  • Reply 8 of 32
    That guy could afford A LOT more Apple stock than what he's got...
  • Reply 9 of 32
    Quote:
    Originally Posted by ryanx27


    That guy could afford A LOT more Apple stock than what he's got...



    However, to do so he'd have to trade his ultra-volatile Google stock. I'm not sure how well Novell ended up doing for Schmidt. That's not saying he isn't a fine exec -- he is -- but during the nineties competing directly with MS was a death wish. Now he is getting some revenge with Google and Apple.
  • Reply 10 of 32
    sunilramansunilraman Posts: 8,133member
    Quote:
    Originally Posted by MacCentric


    Yes, 800,000 / 4800000000 = 0.000166666667



    So it is less than 2 ten thousandths of his net worth, hardly enough to make any kind of noticeable difference no matter what happens to apple. 50 million would be about 1% of net worth for him.



    He could buy almost HALF of Apple!! (depending on regulations, etc. though)
  • Reply 11 of 32
    sunilramansunilraman Posts: 8,133member
    Quote:
    Originally Posted by Splinemodel


    However, to do so he'd have to trade his ultra-volatile Google stock....



    It's been a bit wavy this past year, however it has TRIPLED in the past two years. 8)
  • Reply 12 of 32
    melgrossmelgross Posts: 32,959member
    Well, he has about the same amount I have, so I don't think it's a big deal in that sense, but he could have been given three times as much, and he would have had to pay taxes, which would have come out to about the same as he bought the 10 thousand for, so it is an affirmation.
  • Reply 13 of 32
    sunilramansunilraman Posts: 8,133member
    Offtopic, I can't believe the amount of money that has flown in and around Myspace. I just found out what the f*CK it is a few months ago. Way late to the party .... Damn kids nowadays *shakes fist gingerly* ...!!!!! They and that darn intarweb...!!!
  • Reply 14 of 32
    sunilramansunilraman Posts: 8,133member
    Quote:
    Originally Posted by melgross


    Well, he has about the same amount I have, so I don't think it's a big deal in that sense, but he could have been given three times as much, and he would have had to pay taxes, which would have come out to about the same as he bought the 10 thousand for, so it is an affirmation.



    You have $800,000 worth of AAPL? Holy F&*K. But you got in early which means overall your cost base is something like $200k, right?
  • Reply 15 of 32
    I'm matching and raising Eric Schmidt's largesse ...



    In honor of Mr. Schmidt's commitment to Apple by investing

    his own money to show such confidence, spending at least

    0.02% of his net worth on AAPL shares at market price, I will

    pledge a purchase of at least one more AAPL share, possibly two,

    within days, perhaps as early as tomorrow.
  • Reply 16 of 32
    sunilramansunilraman Posts: 8,133member
    Actually 11,561 shares is at this stage worth $871,468. AAPL at $75.38 per share.



    Let's do some financial modelling, assuming one had 11,561 shares like E.Schmidt and Melgross. Taxes not taken into account in this scenario.



    Let's assume AAPL goes up to $85 in one year, then up to $95 the next year.

    You have then $982,685 after one year then $1,098,295 after two years.

    If AAPL goes up to $105 in the third year then it is $1,213,905.



    However, let's say Melgross sold all his shares in AAPL today, and has $871,468 in cash. He puts it in a term deposit of 5% p.a. for 1 year, renewed again at maturity for another year.

    After the first year he has $915,041 and then after two years he has $960,793. Let's say he renews it for another year at 5%, that will be after three years he has $1,008,833.



    Interesting... Just working some stuff out comparing ultra-conservative vs. share portfolio. I want to plot some data though showing at what stage would it be more worth putting all that money in term deposits vs. the chance(hope, result) of how high AAPL needs to go. I also am interested to model what would happen if AAPL fluctuates around $90 for a few years... At what stage (ie. how long AAPL hovering at $90) would term deposits be a better investment?



    Going for a run now, I'll play with it tonight and maybe post it up here.
  • Reply 17 of 32
    sunilramansunilraman Posts: 8,133member
    Quote:
    Originally Posted by retiarius


    I'm matching and raising Eric Schmidt's largesse ...



    In honor of Mr. Schmidt's commitment to Apple by investing

    his own money to show such confidence, spending at least

    0.02% of his net worth in AAPL shares at market price, I will

    pledge a purchase of at least one more AAPL share, possibly two,

    within days, perhaps as early as tomorrow.



    ROFL
  • Reply 18 of 32
    sunilramansunilraman Posts: 8,133member
    Quote:
    Originally Posted by retiarius


    I'm matching and raising Eric Schmidt's largesse ...



    In honor of Mr. Schmidt's commitment to Apple by investing

    his own money to show such confidence, spending at least

    0.02% of his net worth in AAPL shares at market price, I will

    pledge a purchase of at least one more AAPL share, possibly two,

    within days, perhaps as early as tomorrow.



    Your net worth is $375,000? Damn you 1337 mofos...!! Slushing in the dough Depends on your age though, I guess...
  • Reply 19 of 32
    sunilramansunilraman Posts: 8,133member
    And you all bitch about boo hooo hoo, Apple Macs are so expensive and stuff, boo hoo hoo. Tsk tsk. Shame on you, shame on you.
  • Reply 20 of 32
    melgrossmelgross Posts: 32,959member
    Quote:
    Originally Posted by sunilraman


    You have $800,000 worth of AAPL? Holy F&*K. But you got in early which means overall your cost base is something like $200k, right?



    Well, I bought 5,000 at $16.93 (pre split), and then more recently, another 1,000 at 72. I was thinking of buying more when it dropped to the low 50's, but got busy with other things, and by then it was on the way up again.
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