Apple CEO Tim Cook will meet with activist investor Carl Icahn this Monday in New York City, CNBC’s David Faber reports.
Billionaire investor Carl Icahn tweeted on August 22 that he planned to meet with Apple’s Tim Cook in September to discuss details of a possible stock buyback.
What will be discussed is the magnitude of the shares repurchased, Icahn said.
Carl Icahn and Apple's Tim Cook to meet Monday in New York City. (via @davidfaber)
— CNBC (@CNBC) September 26, 2013
Related articles:
Carl Icahn scoops up Apple stock on post-iPhone event plummet – September 13, 2013
Carl Icahn buys ‘quite a bit more’ Apple shares following unveiling of iPhone 5s and iPhone 5c – September 11, 2013
Carl Icahn’s ulterior motive: To get Apple to buy Nuance – September 3, 2013
Carl Icahn to dine, discuss buybacks with Apple CEO Cook in September – August 22, 2013
Icahn to meet with Apple CEO Tim Cook in September – August 22, 2013
I hope Icahn talks some sense into cook!
I hope Cook treats all of Icahn’s “recommendations” with respect, and then kindly follows not a single one of them. No good can come from actually following the advice of this snake, but good on Cook to listen to what he has to say even if he (Cook) doesn’t act on what the snake says.
Share buyback is common sense at this point. No need for all that cash!!
1) “All that cash” is mostly overseas and useless to Apple at home. Like, more than two-thirds of it. So Apple would be taking on more debt to increase their share buyback.
2) Other than throwing money at people or artificially boosting the stock price (which the existing share buyback has yet to actually do anyway), what does a share buyback gain?
3) Why should Apple risk its cash stockpile just to satiate greedy Wall Street investors, when that cash can be, should be, and is being put to use building up infrastructure like new stores, new data centers, and so on and so forth? Why give everything away to people like Icahn (who owns a very tiny stake in AAPL, realistically speaking) when that money should either be saved for when it’s needed or be put to use actually securing Apple’s future?
You’re talking like Apple owes you something. It does not. You talk like Apple’s cash is really the investor’s cash. It is not.
You own Apple stock. You do not own Apple.
Cook’s job is to make Apple the best and most profitable company he can. His job is NOT to fill your or Carl Icahn’s pocket with money. It’s simply NOT.
This is one thing that is inherently wrong with Wall Street. Wall Street (and unfortunately the vast majority of people who own stocks — especially investors like Icahn) think that companies only exist to make them more money and for no other reason.
That thinking is backward to the way it should be viewed.
A company selling stock was (and should still be) a way for the company to get investment income so they could expand (or pay off private debt) and make the business better. The primary reason was NEVER meant to be a way for the investors to try to strong arm the company into giving the investors more money or simply making the investors richer.
Again, Cook’s job is to make Apple the best he can. If that means maintaining a huge hoard of cash so that he can make huge deals with financial impunity then that means he needs to maintain a huge pile of cash. If it means he needs to retain $150 billion in cash to keep Apple at the bleeding edge by using that cash to get deals first and exclusively then he needs that cash on hand. It does not mean he needs to line your or Carl Icahn’s pockets.
You’re an unimaginative soul, aren’t you? Not exactly a visionary…
Exactly, Icahn is bad news and the quicker apple can get rid of him the better. The guy is a leach, he latches on and then tries to suck as much out of a company as he can. He has no interest in the products, or innovation he just sees a pile of cash and wants to grab as much as possible.
I’m more concerned that he’s trying to get cents out Cook.
I hope Tim spits in that parasite’s face.
‘Ol Cookie Monster had better not screw this up. Just one mistake, and Icahn will spread Apple FUD out the ass.
1) It’s actually Ol’. The apostrophe goes where the missing letter (in this case, the “d” in “Old”) would normally go.
2) Precisely why Cook is treating this guy (just like other snakes like Einhorn) with respect rather than brushing them off completely like they deserve. They do not have Apple’s best interests at heart, just their own, and Cook knows that … but he also knows he has to play their game to some extent, even if he has no intention of giving them what they want. Which, I hope, is the case. Because guys like this just want Apple’s money, and don’t give a damn about the company itself.
I’m not trying to dismiss Cook or anything. Unlike some people here, I like his direction. It’s just that people like Icahnt likes to dismiss Cook as someone who can’t follow Steve’s ideals. I hope Cook can school Icahn on Apple’s innovation.
Pick his brains Tim and then think different …
I hope Tim ignores everything he has to say.
iCon.
Tim:
Tell him about the new Surface. He will be so excited he will go long on MSFT and leave APPL alone.
You can send me a Gold 64 gb 5s for a thank you .
Just another of those things that happens when the CEO has failed. I doubt anything will come of the meet up but we are a step closer. Cook must be feeling the heat. That’s good. The company, its customers, and investors need to get the Cook era behind them so hope for the future will arise. Otherwise, expect nothing different than what you have seen – tweaks to products, false promises about “great new products in the pipeline,” and a collapse of AAPL.
So let’s assume that Cook is bad for the job (up for debate, but that’s fine). Who would be a better fit as the CEO? Follow-up question: If you’re answer is Ive or Schiller or any other Senior guy at Apple: Do you think as CEO they would be able to contribute any more than they already do (or can)? I’m all for people saying a CEO should be ousted, but if there isn’t a BETTER option, then what’s the benefit?
Your.
I don’t know who is the right replacement for TC. But, the certainty is that we would have the opportunity to launch a new era. Why, you ask? Because this one, except for sales and profits (which Wall Street has ignored because the company is only doing what is expected as long as there is excitement about tweaks and updates – something with a limited life) is dead in the water. AAPL is stuck at $400, and expectations about new products (yes, I know the new Mac Pro – but it’s market is tiny and Steve called it a “truck”) have turned to disappointments month after month after month. I’m not a troll. People say that because they have no other answer to my correct evaluation of reality.
“tweaks” .. ?
THIS is not a tweak … and
neither is ..THIS ..
They are paradigm shifts, .. (in case you haven’t noticed) ..
Both under Tim Cook’s watch !
JM is a broken record, guys, there is absolutely no point in discussing anything with him.
Wow, so current Apple is what a failing company looks like? And here I thought it would be something like Blackberry, where the stock is being sold for pennies on the dollar, or Microsoft, where you can smell the desperation! Instead, it looks like a company that had the best three days of retail sales in history! Thanks for the schooling!
You again, and your Apple FUD. If you hate Tim Cook so much, then you can go buy some more Sammy Stock…which would fall several points because of the “Galaxy Gold” edition. You can iCal that!
I don’t know why everyone gets so worked up over Icahn meeting with Cook. All Icahn wants is an increase in share buyback. That’s it. And it can be good for both Apple and shareholders.
Fewer shares in the market will result in a boost in the stock, as investors will have fewer shares to buy. Supply and demand. And Apple can buy back more stock at a depressed price, as it’s already been doing.
Plus, every share Apple buys back is a share on which it doesn’t have to pay out a dividend, so it saves money there.
Icahn has said he likes Cook and the direction of the company and has no intention of telling Cook how to run Apple’s product development. He is just suggesting Apple borrow money cheaply to buy back more shares, thus making more money in the long run. As a shareholder, it sounds like an excellent plan to me.
Carl’s holdings are 1/444th of the company. Why does this merit a meeting? Tim, please invite Carl to divest all his shares, he is poison.