“Bernstein’s Toni Sacconaghi this morning weighs in on Apple CEO Tim Cook’s appearance a week ago on Jim Cramer’s ‘Mad Money’ program, arguing that investors should ignore it and instead focus on the history of the stock in the wake of buybacks, which has been positive according to his data,” Tiernan Ray reports for Barron’s.
“‘Interestingly, and perhaps not surprisingly, we find that during Tim Cook’s tenure as CEO, it has made more sense to follow the company’s buyback trends than the CEO’s media appearances (and accompanying assurances),’ writes Sacconaghi,” Ray reports, “who has an Outperform rating, and a $135 price target.”
Ray reports, “Sacconaghi looks back over public appearances by Cook and finds they have ‘not been a good leading indicator for the stock.'”
Read more in the full article here.
MacDailyNews Take: See the rather interesting table in the full article. $14 billion seems to be the magic number, at least historically.
Apple resumes share buybacks, to benefit from beaten down price – April 29, 2016
How Apple’s massive debt-powered buybacks actually save the company money – December 28, 2015