Tuesday, March 12, 2013

Is Apple About To Announce Plans for Its Cash Hoard?

Apple  will outline what it plans to do with a growing pile of cash by next month, according to Howard Ward, Gamco Investors’ CIO. Apple, which has been grappling with investor criticism over the handling of its $137.1 billion in cash and investments, will add $42 billion in earnings to that sum in 2013, Ward told Bloomberg.

Greenlight Capital Inc.’s David Einhorn has been urging Cupertino, California-based Apple to issue high-yielding preferred shares to spread the funds among investors. Investors are also urging Apple to consider a higher dividend payout.

“We’re going to get an announcement from the company as to how they intend to reallocate some of their cash,” Ward said in an interview today on Bloomberg Radio’s “Surveillance” with Tom Keene. “They will put a floor under their stock at a higher price than it is today.”

Read more at http://www.bloomberg.com/news/2013-03-11/apple-will-announce-plans-for-cash-hoard-gamco-says-tom-keene.html

No comments:

Post a Comment