Apple's Sub-$500 Stock Price is Still Underserved
Posted on February 23, 2013 at 14:48 PM EST
The hot topic of late has been David Einhorn and his fight against Apple to get the tech giant to raise its dividend. Einhorn's so-called "iPref" is said to have the potential to create $150 worth of value in the stock. With a yield of 1.90%, Apple is already one of the most generous payers on the market. However, the company's growth has become a concern. It's now a fight between ideals. With growth being an issue, Apple's ability to produce growth will be diminished with less cash. But on the other hand, does Apple need a hoard of $137 billion? What's right and agreeable is somewhere in the middle, or even the bottom third.
The hot topic of late has been David Einhorn and his fight against Apple to get the tech giant to raise its dividend. Einhorn's so-called "iPref" is said to have the potential to create $150 worth of value in the stock. With a yield of 1.90%, Apple is already one of the most generous payers on the market. However, the company's growth has become a concern. It's now a fight between ideals. With growth being an issue, Apple's ability to produce growth will be diminished with less cash. But on the other hand, does Apple need a hoard of $137 billion? What's right and agreeable is somewhere in the middle, or even the bottom third.
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