“According to analysts, the most likely scenario is that Apple reduces its share count by 7% per year for the next six years and boosts its dividend yield to 3%, achieving net zero cash by fiscal 2023,” Grant reports. “Should such an ‘accelerated’ share buyback program be announced, Apple will likely enact further upward revisions to earnings estimates.”
“Apple, an Actions Alerts Plus portfolio holding, has historically accounted for between 1% and 4% of the stock’s daily trading volume,” Grant reports. “‘We assume Apple could reach a maximum of 5% of daily trading volume without impacting the price, if it intends to aggressively buy back stock,’ UBS said.”
Read more in the full article here.
MacDailyNews Take: Aggressive, accelerated buybacks with repatriated overseas profits would be good news for AAPL shareholders.
Think buybacks and dividends, not major acquisitions. — MacDailyNews, January 5, 2018
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GBH: Apple likely to repatriate $200 billion of its $252 billion foreign cash hoard – January 5, 2018