“For Carl Icahn to make the same percentage return on his Apple stake in the next three years as he made on his Netflix holdings in the last three, Apple would have to be worth $9tn in 2018,” Stephen Foley and Matthew Garrahan report for The Financial Times.
“Nonetheless,” Foley and Garrahan report, “Mr Icahn cemented his position as one of Apple’s most enthusiastic public boosters on Wednesday, as he also revealed that he has sold the remainder of his Netflix stock for a $2bn total profit.”
Sold last of our $NFLX today. Believe $AAPL currently represents same opportunity we stated NFLX offered several years ago.
— Carl Icahn (@Carl_C_Icahn) June 24, 2015
Foley and Garrahan report, “Mr Icahn’s hedge funds have $6.8bn tied up in Apple shares, just under 1 per cent of the $745bn company. Apple’s price has already doubled since he took his initial stake in August 2013, and he has been one of the company’s biggest cheerleaders on Twitter and in television interviews. Apple is the sort of company that only comes along twice in a century, he said last month, and it has an ‘absurd’ low valuation.”
Read more in the full article here.
MacDailyNews Take: AAPL is seeing a bit of a bounce off the news as well.