Analyst: U.S. Gov’t unlikely to ‘nail Apple and Steve Jobs’

“The recent news concerning Apple’s stock options investigation alongside Steve Jobs’ decision to hire legal counsel came as no surprise to senior analyst Shaw Wu of American Technology Research, who saw the dip in stock pricing as an opportunity for nimble investors. ‘We have been looking for a pull-back in Apple shares to get more aggressive on the long side,’ Wu wrote in a research note obtained by MacNN. ‘For those who missed yesterday’s window, we do not think it is too late to step in,'” MacNN reports.

“‘Given the widespread nature, we doubt the SEC and Department of Justice will pursue a broad ‘witchhunt’ forcing key executives to step down that would undermine the recovery of the U.S. economy,’ said Wu. ‘We do not believe it makes sense for the U.S. government to nail Apple and Steve Jobs, one of the most respected American companies and businessmen of the past 100 years. […] We believe a more likely scenario by the U.S. government is tighter enforcement on options backdating to ensure it doesn’t happen again,'” MacNN reports.

MacNN reports, “Shaw Wu reiterated his ‘buy’ rating with a $99 price target based on checks of strong December quarter momentum and a strong product pipeline in 2007.”

More in the full article here.

AppleInsider also covers the story here.

Related articles:
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Apple delays filing annual report due to ongoing stock options investigation – December 15, 2006
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  1. Usually regulations are in place to protect investors. If the govt nails Jobs to the walls, removes him from Apple, all it does is hurt the investors they are trying to protect to begin with. I’m all for accountability, but in this case it doesn’t make sense to go for the throat of Jobs and Co. Investors in AAPL have had nothing but good fortune for the last 4 years. Why destroy that now?

    Make the rules more strict. Make them even for all companies. That should be the goal.

  2. From what we know, Jobs didn’t issue the options. It is up to the compensation committee and the CFO to deal with matters such as these.

    Everyone knows Jobs’ role at Apple is to lead the design and development of 21st century computers – not prepare accounting documents.

  3. it’s time we need to be honest with ourselves…

    if this was going on in redmond, we’d all scream for everyone’s heads. but since it’s at our beloved apple, it’s fine, and that the rules should just get stricter for next time.

    i don’t want to see steve go more than anybody else here, but let’s watch out for moral relativism.

  4. “if this was going on in redmond, we’d all scream for everyone’s heads. but since it’s at our beloved apple, it’s fine, and that the rules should just get stricter for next time.”

    New here?

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  5. Like I’ve said before, find me any corporation in the world that doesn’t have executives bending the rules. The fact is that you won’t find one. So this is all much ado about nothing.

  6. If there was wrong doing here @ Apple, then the rules should apply equally to all….hate saying that, but then, the rules are the rules……Now, that said, if the Feds do go after Apple and not some of the other peecee companies that are part of this investigation, then I would nail microsoft for influencing the government to go after Apple……just a thought about what could be going on up in redmond. We all know they don’t play fair….they are a very rich and corrupt company…..

    Watch them start to give away vista by the middle of next year, just to keep people on their os. They can afford to do this for a very long time.

  7. Crooks and cheats!
    Sleeeeeeeeeeazy dealings.
    And again I ask the question….
    How does this effect Al “I want to be president in 2008” Gore????
    Al the boardmember. Al who is supposed to be looking over things like this.
    Al…who maybe got slipped a few back dated options under the table?
    Al´s reputation being smeared by APPPLe??!!??

    Hillary is happy. One less person to contend with.

  8. What I wonder in all this, is how can MS who in general are not the most ethical business people (just ask Stak Electonics, Novell, Wordperfect, Symantec, etc.)how their name has not come up in all this. They had a high flying stock in the 90s but it has been flat for the 2000s, I would not be surprised if they were just as guilty as the other companies. Juniper just took a $900 mil write off for their stock option issues. How much will Apples be? How much would MS’ be?

    I just hope next week we look back at the low 80’s high 70’s as Apple stocks low, I bought at 84.

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