Apple shares hit ex-dividend as Cupertino Colossus preps to distribute $2.9 billion to shareholders

“On May 12, Apple will pay shareholders of record a quarterly dividend of $0.57 per share, but investors must have had settled ownership of the company’s stock by Monday May 9 in order to qualify,” Daniel Eran Dilger writes for AppleInsider. “Apple will pay out $2.9 billion in dividends on its outstanding shares for the quarter.”

“May’s dividend will be the first 57-cent dividend Apple has paid since it announced plans to increase its dividend from 52 cents during its Q2 2016 earnings conference call,” Dilger writes. “Over the past four quarters, Apple has paid out around $12 billion in dividends to its shareholders, distributing close to $3 billion every quarter, although that number has decreased slightly in tandem with the company’s stock buybacks.”

“Dividends are a minority portion of Apple’s shareholder capital return program, the majority of which has been earmarked for buying back outstanding shares,” Dilger writes. “In total, Apple has spent $117 billion on stock buybacks since initiating its capital return program, including an opportunistic $14 billion share grab initiated after the stock plunged more than 8 percent last January following the company’s holiday Q1 release which detailed its highest ever quarterly revenues and operating profits — results that the tech media depicted as ‘disappointing.'”

Read more in the full article here.

MacDailyNews Take: It’s interesting how anyone — whether they be in the tech media, on Wall Street, or anywhere on the planet — could describe the largest quarterly profit ever recorded by a single public corporation as “disappointing.”

But, hey, take advantage of such lunacy whenever you can!

SEE ALSO:
Apple reaps $18.4 billion quarterly profit, the largest ever recorded by a single public corporation – January 26, 2016

17 Comments

  1. Apple is merely using buybacks to prop up ratio and provide short-term relief to diminishing stock price. This isn’t really a good thing, it’s a scam, a smokescreen. Investors get short term benefit, but this sort of stock manipulation does not fundamentally correct Apple’s inherent weaknesses.

      1. It’s weaknesses, plural. The scam is artificially boosting stock value. Even Apple admits that next quarters profits are predicted to be less than desired or expected. So to reward the faithful and placate the worried, Apple spends its own cash to boost stock, not put this money into R&D or purchase talent or buy another company or hire more people. Things that typically strengthen a company. It’s smoke and mirrors.

        1. What are the weaknesses ?
          How is buying back stock An Artificial activity?
          As for the rest of what you wrote.. I must say you are very uninformed.

            1. He’s right, you know. Buybacks are not intended to manipulate the price. They reduce the total number of shares, making each remaining share more valuable. Any affect on the short-term price is unimportant.

            2. If Apple can buy its shares today at a big discount to what it believes will be its share price in the future, then it is not a scam. Rather, it is an astute investment.

          1. Very good. Seems that hasn’t had much impact on Apple’s expectations for the subsequent quarter. Therefore, Apple’s return on investment is not working too well in Apple’s favor. Yikes! What the hell is Tim Cook doing with Apple’s horde of cash? Let me answer. Tim Cook’s best efforts are, at best short term, and, having reconciled less than stellar profits in the near future. Tim Cook is merely trying to keep people presently satisfied with artificially boosting Apple stock.

            1. While the rest of us are scooping up Apple dividend cash you’ll just have to console yourself with that lonely hairnet wearing minimum wage job of yours you had to beg and plead to get. (Oh and keep saying a bunch of buffoonish, ignorant & blowhard worthy stuff. Obnoxious to the last.)

            2. You don’t understand. This is because you suffer from a typical blinkered month to month view of business. Apple is one of the few American companies that take the long term view rather than your stupid monthly or quarterly view.

  2. for people like Joe that blame Tim Cook for the depressed stock price, let’s realize a few things:

    1) Prices of anything are artificial and represent what people will pay for something

    2) I planned to retire when AAPL reached $142.86

    So blame me and my bad luck for the lower stock price, not TC. I guess I am not suppose to retire yet.

    BTW, I just don’t see one-more-thing coming from TC but my fingers are crossed. Wonder what SJ’s one-more-thing would have been. Maybe he didn’t have one. If he did someone at Apple should still know about it.

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