Apple stock goes vertical: The Carl Icahn effect

“At 2:21 p.m. Tuesday someone using the Twitter account Carl_C_Icahn — presumably the corporate raider/hedge fund manager himself — issued the first of a pair of tweets,” Philip Elmer-DeWitt reports for Fortune.

“That was followed [by another tweet] four minutes later,” P.E.D. reports.

“Apple’s shares, which had been trading at $475.77, did what stocks do when Icahn buys them. They went vertical, touching $489.74, up 13.97 (2.93%), in the space of 40 minutes,” P.E.D. reports. “In a statement to Fortune, an Apple spokesman confirmed that Icahn had been in touch.”

Read more in the full article here.

Dan Primack reports for Fortune, “Apple followed Icahn’s tweet by issuing the following statement: ‘We appreciate the interest and investment of all our shareholders. Tim had a very positive conversation with Mr. Icahn today.'”

Read more in the full article here.

[Thanks to MacDailyNews Reader “David E.” for the heads up.]

27 Comments

    1. shorts in total disarray… options market turned on its head. AAPL is still on sale… maybe not for much longer… time to buy or be left in the dust. this is the best value / in-point since before the announcement of the iPhone.

  1. Does it really take Carl Icahn for others to get on the gravy train? What ever happened to analytical thinking? And where is GM? What’s his advice? Wait, I know what it is. “Know when to hold ’em, know when to fold ’em”.

    1. Gosh, thanks for thinking of me. It’s always “know when to hold them” and “know when to fold them”. It’s called discipline and having a plan. If you don’t have a plan and you aren’t disciplined you will lose your ass. I’m sure even you understand that. I have been buying some AAPL long-term call options in the last few weeks. They look awfully good today after Carl jumped. Wish I had bought more. But the pop from Carl today may not last. He’s a troublemaker and not necessarily good for the company. It will be interesting to see how Apple responds. They released a short press release but it didn’t say much.

      1. It’s good that AAPL is valued at 444 billion. Carl would need to put in 44 billion in order to really screw up Apple. But, like GM said, Carl is trouble. I remember him very well putting TWA and another airlines out of business.

  2. Tim needs to buy back more Apple that’s a fact. People underestimate what the new iPhone 5c will do. It will take back lost ground GIVEN away to Samsung. Given away in a silver platter with a sign that read “please take all of these customers from the ginormous base of mid level phones, we don’t need them”

    Long overdue move, but it will pay off handsomely.

  3. My, my… How blatant does manipulation of the stock casino have to get before the authorities take action? Or is this just someone exercising free speech? Now wait for the negative commentary to send the price down again…

  4. This is more proof that the stock market is now entirely controlled by fear and greed, not financial fundamentals. Anyone who buys or sells because of the opinions of a twit is not an investor, he/she/it is a gambler.

    Wall Street is not, and has not been for many years, the place where inventors went to raise capital and produce a new product. It is now a gambling den where nothing happens but insider & mechanized fraud … and now, stock manipulation by tweeting.

    1. I’m thinking it’s not either or. I don’t invest because Icahn says its undervalued. But I do invest when he mentions it because I know that lots of others will start buying in and I can make a nice short-term profit. Would that be called derivative investing? Maybe meta-investing?

  5. If Icahn is involve in anyway, hold onto your wallet. The guy is a leech! Apple should not use anymore cash to buy back stock based on his input. SJ wanted that cash around for good reason. And why is he Tweeting this crap?

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