“Apple (AAPL) appears well positioned to provide dividend investors with an opportunity for both capital appreciation and income production,” David Alton Clark writes for Seeking Alpha.
“Firstly, according to the rumor mill, Apple is about to embark on one of the most intense product launch cycles in the company’s history in the second half of this year. This should augur well for organic growth,” Clark writes. “Further, if the new products are successful, this will spur free cash flow, increase capital gains and buttress dividend growth. Finally, the company is making intelligent use of capital presently and is attractively priced. Consequently, I submit Apple is a great high dividend yield buying opportunity for savvy investors.”
“Apple has reached a major inflection point. If Apple is able to execute flawlessly over the next couple of quarters and the new products are received well, I see the stock revisiting the prior all-time high of $700,” Clark writes. “Moreover, with the Fed keeping interest rates at all-time lows for the foreseeable future, investors are being driven to dividend-paying stocks in a search for yield. On top of that, I submit Apple is vastly undervalued providing an excellent safe haven play in the face of a potential macro market selloff. Moreover, the stock presents an exceptional total return play based on the upcoming product launch cycle.”
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