This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

WWJD: What Would Jobs Do?

(In Apple's defense, most of this cash is held outside of the U.S., requiring them to pay billions in repatriation taxes).

Cook already put a floor in the stock by initiating an additional $50 billion stock buyback program (on top of the $10 billion plan in place), to be completed by December 2015. Meaning that this $425 billion market cap company is going to get a huge injection of cash in the open market over the next 32 months.

But is it really time to start the "off with his Cook's head" chant? No. I don't think so. Not yet. On the second quarter conference call, Cook hinted towards future product launches in the second half of 2013.

Specifically, he had this to say on the matter, "Our teams are hard at work on some amazing new hardware, software, and services that we can't wait to introduce this fall and throughout 2014. We continue to be very confident in our future product plans."

When later probed in the Q&A session about a more specific launch schedule, Cook deflected, "I don't want to be more specific, but I'm just saying we've got some really great stuff coming in the fall and across all of 2014."

To me, this is Cook's way of saying that patient, long-term oriented shareholders will be rewarded. I also think he kind of perversely liked the stock falling so much. Watching short-term traders and non-committal bandwagoners getting squashed like bugs.


I think his plan all along has been to ultimately reward those who weather the storm, those who stick it out. With a juicy dividend yield (now near 3%) and a $60 billion buyback program in place -- which is the highest buyback program from a company, ever -- I think we owe it to Cook and to Apple to see what they've got planned for fall.

2 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
AAPL $130.28 0.00%
FB $81.53 0.00%
GOOG $565.06 0.00%
TSLA $218.42 0.00%
YHOO $44.52 0.00%

Markets

DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs