NEW YORK (TheStreet) -- Shares of Apple (AAPL) - Get Report are advancing by 0.82% to $98.72 on Monday morning, as the Indian government is expected to allow the tech giant to open its own retail stores in the country without any sourcing requirement for two to three years, according to the Times of India.
This comes as the government tries to work out an agreement where the Cupertino, CA-based company will agree to local purchases once it gets a stronger foothold in the country.
Talks between India's Finance Ministry and the Department of Industrial Policy and Promotion (DIPP) have begun and the option of letting Apple open stores without sourcing requirements in the initial years has been floated, according to sources cited by the Times of India.
Last year, a special window was opened for foreign companies to open stores in the country through the single-brand retail route.
The government mandated 30% sourcing from local vendors for companies opting for the single-brand format, the Times of India notes.
The latest round of talks comes after the Finance Ministry rejected a DIPP-led panel's recommendation to get rid of the sourcing requirement for Apple because the company sells products that have "cutting-edge technology."
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Separately, TheStreet Ratings Team has a "Buy" rating with a score of B on the stock.
The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, notable return on equity and expanding profit margins. We feel its strengths outweigh the fact that the company shows weak operating cash flow.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: AAPL