“Greenlight’s David Einhorn released his investor letter in which he lays out how to be well-positioned for the Trump presidency,” Chris DeMuth Jr. writes for Seeking Alpha.
“That positioning contemplates new tax policies,” DeMuth Jr. writes. “Einhorn is long Apple in part because the company could gain from tax reform and new policies around tax-efficient repatriation of foreign cash, of which Apple has a boatload.”
“They have over $200 billion of such offshore cash that could return to the US during the Trump administration,” DeMuth Jr. writes. “Apple’s accrual of a 25% GAAP tax rate is high among its peers, so a corporate tax cut would be a real benefit. Apple is one of Greenlight’s top five disclosed long positions.”
Read more in the full article here.
MacDailyNews Take: As Jim Cramer likes to say, “Own Apple, don’t trade it.”
SEE ALSO:
Cramer: Here’s why I don’t say ‘sell, sell, sell Apple’ – September 2, 2016
Is Apple a good investment for dividend growth investors? – June 8, 2016