Apple’s cash hoard could conservatively hit massive $170 billion this year

“At $137 billion, Apple’s cash stockpile is the biggest around — a little more than double Microsoft’s, which ranks second-largest,” John Paczkowski reports for AllThingsD. “A grotesquely large cash cache — one that will be obscenely large by year’s end if Apple doesn’t do something with it.”

“Moody’s Investors Service figures Apple’s cash could balloon beyond $170 billion by year’s end if the company doesn’t start returning some cash to shareholders, whether it be through buyback, increased dividend or even distributing those perpetual preferred iPref shares that Greenlight Capital founder David Einhorn proposed,” Paczkowski reports. “‘I believe $170 billion in cash by year end 2013 is conservative,’ Moody’s Senior Vice President Richard Lane told AllThingsD, ‘unless Apple decides to do something materially different with respect to capital allocation.'”

Read more about Apple’s burgeoning cash pile in the full article here.

19 Comments

  1. “Moody’s Investors Service figures Apple’s cash could balloon beyond $170 billion by year’s end if the company doesn’t start returning some cash to shareholders, whether it be through buyback, increased dividend or even distributing those perpetual preferred iPref shares that Greenlight Capital founder David Einhorn proposed,”

    LOL! They’re incessant, aren’t they?

    1. With the next iPhone potentially containing an imbedded NFC chip and finger print reader I personally think Apple will acquire a credit card company to streaming payment processing. This makes sense since in the near future all payments will be electronic.
      Apple should buy American Express for $100 billion or Visa for $150 billion. That’s why they need a large cash horde 😀

  2. They must be counting on Apple giving back a lot of cash to the investors to have such a low number. Last I saw, Apple deposits $16 billion each quarter in the bank. So $137 billion and 4 quarters is $201 billion by year end. Apple will have $170 billion after the 2nd quarter this summer less what ever Apple returns to the investors or less what ever company (or country) Apple wants to buy. I am hearing that Cypress may be on sale this week.

    1. No, Apple should buy the companies with those plants, patents and other assets. Sell what you don’t want and keep the plants and patents. That is what you do with billions in the bank and you start with sources that Samsung also needs. Time for Tim and the Apple board to man up and play hard ball. “T” ball time is over now boys and girls.

      1. Agree….!!! Out with the nice guy persona & lay down the gauntlet Timmy!!!! Let the world know Apple is tired of playing to hands of coerced global liars, cheats and thieves!!! GROW SOME BIG KAHUNAS!!! PLEASE!!! The time is NOW!!!

  3. Now, that massive $170 billion cash hoard should at at least add $10 more to Apple’s current share price. However, it won’t help Apple’s P/E from shrinking or stop it from being Wall Street’s #1 doomed company.

    /s

    I still want to see an Apple search engine division, building of more server farms and starting its own production facilities either here or overseas. They definitely need to do something about component supplier leaks so they might consider starting their own covert security force, too. Throw in a huge public relations division to constantly create favorable news stories for itself.

  4. I know it’s been hashed before. But could Apple do a massive strategy change and start buying some of the systems on which the Apple eco system depends, but continue to suck.
    Mobile data network. Maybe an ISP. Some way to get all that cloud data to the Apple devices without the bullshit that we currently are subjected to?
    Then there is content…
    Sorry, but it does start to look interesting if Apple could get the tactics right.

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