Barron’s: Apple Computer could buyout Disney

“Barron’s on Saturday said it’s possible that Apple could make a bid to buyout Disney after CEO Steve Jobs becomes the legendary entertainment firm’s largest shareholder.
Jobs, who is the CEO of computer animation business Pixar as well as Apple , will own 7% of Disney after that firm’s agreement to acquire the maker of movies like Toy Story and Finding Nemo,” Greg Morcroft reports for MarketWatch.

“‘I think he has an open option,’ Barron’s quoted analyst Christopher Whalen, a New York-based managing director of Institutional Risk Analytics. ‘Disney is badly undervalued right now. Jobs might get an opportunity to take it out,'” Morcroft reports.

Full article here.

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37 Comments

  1. and on a further note, Steve Jobs has been added to the board of the federal reserve bank. He now owns 7% of the USA, or Idaho. He has the option to choose which.

    “Idaho – I’m lookin in your direction”

  2. Ok, in the past week someone thought Apple should spin off iPod & iTunes because they’re a distraction.

    Now today someone thinks Apple should buy Disney (one of the bigger can of worms in business).

    WTF is this? Disinformation? A joke? Or indeed serious advice??

    “That is a great idea. Just ask Ted Turner about the AOL Time Warner venture.”

    Right on.

  3. I actually know the fella who penned this article for Marketwatch;, we’re friends and neighbors, we’ve fished in the Keys together, we drink at the same bar. In his defense, I can say he’s “just doing his job”.

    As the article read…

    “I think he has an open option,” Barron’s quoted analyst Christopher Whalen, a New York-based managing director of Institutional Risk Analytics. “Disney is badly undervalued right now. Jobs might get an opportunity to take it out.”

    As the the title of the article suggests, he (the writer) was simply relaying what some FOOL at Barrons was saying.

  4. Tragically silly.

    Apple should buy Wallmart. And then Exxon. Finally, it should buy some east coast shipping ports.

    And why not buy Radio Shack and Jenny Craig while its at it. Hell, the presidency of the United States is for sale in ’08. And then there’s the continent of Antarctica. Float some stock. Buy ’em all.

  5. Steve doesn’t want Disney, he might be the largest shareholder, but it’s only 7%.

    The other 93% is pretty big, well actually he would need another 44% to control the company.

    That’s another $25,130,934,897 that needs to be raised.

    How much does Apple have in cash?

    6 billion?

  6. Not only that, since Steve is the largest shareholder at 7%, that means the other 44% he needs is broken up among a lot of different people.

    If he starts buying the stock price will rise and it wold cost even more than the $25 billion.

    Even if he did pull it off, Eisner has left some boogymen in the closets.

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