Monday, March 19, 2012

Apple stock prices march 19 2012

Apple stock prices march 19 2012 : First time the company has paid a dividend since 1995, and marks turning point for Apple, which has argued it needed its cash to fund supplies for its latest gadgets.

So we are wrapping this up now. To sum up Apple has announced a $10 billion share buyback and its first dividend since 1995 - three years before the launch of the iMac and all those i wonders that followed from the iPod to the iPad.

The company is sitting on close to $100 billion in cash and other securities so the buyback and dividend aren't going to make too much of a dent. But some have worried that this means Apple's historic run is about to slow and that the dividend signals the end of an era.

Shaw Wu, an analyst at Sterne Agee & Leach, disagrees. This is a positive move for Apple, he says.

This is something that shareholders have been pressing for for some time and it proves they are listening. It's a good move for shareholders and employees who hold the stock over the longer term and for funds looking for yields.

Wu said it will also put pressure on Google, which has yet to pay a dividend and is sitting on its own massive cash horde.

As for suggestions that Apple is losing steam:

Everyone has been saying that for at least five years. So far they have proven to be a bit premature. It's still early in New York, Apple's shares are now up a bit over 1% and the firm is worth $545.97 billion - making it the most valuable company in the world.

Apple stock rose $5.33 to $590.90 on Monday after announcing that it would pay a shareholder dividend and buy back $10 billion of its stock over three years. The dividend will be $2.65 per share per quarter.

Apple's stock has taken off this year, rising from $405 partly in anticipation of the dividend. The dividend could expand the company's reach because some “value-oriented” mutual funds will now be allowed to hold the stock.
Stock Market Today
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