On Jan. 1, 2018, the biggest, most sweeping U.S. corporate tax cut ever enacted went into effect.
A year later, we’re able to see how businesses used all that extra cash.
The short answer: to buy back shares.
The long answer is slightly more nuanced, but not by much. Bloomberg’s Laura Davison explains on “Bloomberg Technology.”
Direct link to video here.
MacDailyNews Take: The more shares Apple can retire or use to attract and retain quality employees, the better!
SEE ALSO:
U.S. companies repatriated over half a trillion dollars in 2018 – December 31, 2018
Apple gives employees $2,500 bonuses after President Trump signed the GOP’s Tax Cuts and Jobs Act – January 17, 2018
Looks like Apple is bringing nearly all of its $250 billion foreign cash back home to America – January 17, 2018
Apple plans to add $350 billion to U.S. economy and create over 20,000 new jobs over next 5 years, pay $38 billion in repatriated taxes, the largest ever made – January 17, 2018
Apple expected to issue less debt in 2018 now that President Trump has signed the Tax Cuts and Jobs Act – January 16, 2018
U.S Treasury: 90% of U.S. workers likely to see more money in take-home pay next month – January 13, 2018
U.S. again assumes throne as world’s most competitive economy; first time since 2008 – October 17, 2018
U.S. worker pay rate hits highest level since 2008 – July 31, 2018
Apple expected to repatriate $214 billion to the U.S.; expect increased buybacks and dividends, not big acquisitions – December 22, 2017
Congressional Republicans deliver epic overhaul of U.S. tax laws to President Donald Trump – December 20, 2017
Jobs Act my fanny. It was just a tax cut for the wealthy and corporations. Some people received a small tax cuts that count down every year for about 9 years until it zeros out. All those tax breaks were used to buy back stock. It is sales that causes a company to grow and expand.
U.S. employers added jobs at a robust pace in December, and wages posted their biggest full-year gain in a decade…
Strong U.S. Job and Wage Growth Provides Assurance on Economy – The Wall Street Journal, Jan. 4, 2019
Thank you, President Trump!
Next solar eclipse in US will be April 8, 2024.
MDN… “But is it good for Apple?”
MDN just recently reported:
“Apple Inc. once a market leader, has fallen about 30% since its peak in October…”
When are the trickle down voodoo economists going to realize that enriching the feudal lords’ cash hordes does not make for a vibrant economy empowering the best and brightest peasants to innovate and contribute to their full potential??????
Apple’s stock declined even as they continued the stupid buybacks.
MDN you’re an idiot. All stock buybacks do is destroy wealth. poof it’s gone. At least when Richard Pryor blew $30m in Brewster’s Millions, he pumped money back in the economy. A stock buyback does no such thing, it literally makes money disappear and deflates the economy. Wanna make that windfall useful, pay the shareholders a larger dividend.
I’m sure Warren Buffet agrees with you
Now Tommy Boy, don’t you be raising a ruckus.
We call it the #GOPTaxScam
Wages did not go up, companies did not invest on more R&D or update plant and equipment. The rich caused the huge tax checks and corporations pissed the money away on stock repurchases.
Stock buybacks do not work effectively. Ask General Electric.
U.S. employers added jobs at a robust pace in December, and wages posted their biggest full-year gain in a decade…
Strong U.S. Job and Wage Growth Provides Assurance on Economy – The Wall Street Journal, Jan. 4, 2019
December jobs and wages always go up- it is the Christmas hiring season. The jobs are temporary. Nice try with the Murdoch Street Journal