NEW YORK (TheStreet) -- Shares of Apple (AAPL) are lower -0.69% to $93.60 in pre-market trading on Wednesday.
The European Commission will launch a formal investigation into Apple's tax arrangements in Ireland, sources told RTE, the Irish Broadcaster.
Apple's use of favorable Irish tax laws allowed it to pay a 3.7% tax rate on non-U.S. income during its last fiscal year.
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At the end of the fiscal second quarter $132.2 billion of Apple's $150.6 billion cash balance was offshore.
TheStreet Ratings team rates APPLE INC as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation:
"We rate APPLE INC (AAPL) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, expanding profit margins and good cash flow from operations. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook."