4. All companies have a window of opportunity in which they are responsible to seize the moment. As the tech sector progresses into the cloud computing era via mobile Internet devices, Apple finds itself in the sweet spot a once in a generation opportunity.
IPhone unit sales surged 113% last quarter. The iPad is crushing any sign of competition and appears well on its way to capturing iPod-esque market share penetration in the new frontier of tablets. The App Store has redefined mobile computing. If management feels that its stock is underperforming because of non-fundamental variables, such as hedge fund manipulation, than perhaps it is time to do something about it.
Apple conducted a 2:1 split in June 2000 and another 2:1 split in February 2005. On Wall Street perception is reality and Apple management needs to do something to alter the status quo. It is unlikely that Jobs would approve a dividend or stock buyback because it would mean having to drain his cash cushion, but a stock split? Why not? Nobody is happy with the underperformance of this stock relative to earnings growth.
I have to imagine that this is a hot topic of discussion at Apple headquarters considering the large number of shares owned by insiders. The time has come to wake this stock up. If you're an Apple shareholder and you agree that Apple performance would be better after a 10:1 split to $35 a share, go ahead and let the Apple investor relations team know by clicking here Management will listen.