Re:Apple Reports Declining Profits and Slowing Growth Again
by xbmcuser on Wednesday July 31, 2019 @12:29AM
(#20571718)
Thats the reason Buffet has now invested in Apple as he prefers a stable earnings. His investment indicated to me that Apple will be a stable investment going forward and won't have the upward and downwards swings of fast growing company where there can be large swings up or down with each quarter earnings
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Re:Apple Reports Declining Profits and Slowing Growth Again
by roboys on Wednesday July 31, 2019 @01:35AM
(#20571920)
The fact that AAPL goes on regular stock buy back sprees with its warchest instead of risking innovation helps with the stability of what should be a declining stock price.
Re:Apple Reports Declining Profits and Slowing Growth Again
by electriclove on Wednesday July 31, 2019 @10:16AM
(#20574589)
The size of these buybacks is quite incredible as they have reduced the Number of Outstanding Shares by 50% in the last 7 years. https://www.macrotrends.net/stocks/charts/AAPL/apple/shares-...
I agree that this is stabilizing the stock price. I also think that they are still spending plenty of money on innovation, it's just that they have too much money to know how to spend it appropriately.
The stock is an incredible value (even still) because share repurchases and dividends continue to occur and they continue to make tons of money. And it will benefit from upside when they have another hit. Yes, I am long.
Re:Apple Reports Declining Profits and Slowing Growth Again
by electriclove on Thursday August 08, 2019 @11:19AM
(#20645351)
Correction: reduced by 33%
Re:Apple Reports Declining Profits and Slowing Growth Again
by mruts on Wednesday July 31, 2019 @06:17AM
(#20573021)
Why should the stock price be declining? Also companies do buybacks when the stock is cheap, not exepensive.
Re:Apple Reports Declining Profits and Slowing Growth Again
by mensetmanusman on Wednesday July 31, 2019 @07:06AM
(#20573296)
https://www.theatlantic.com/magazine/archive/2019/08/the-sto...
You would think that, but they actually purchase when it’s expensive :)
Re:Apple Reports Declining Profits and Slowing Growth Again
by ajross on Wednesday July 31, 2019 @09:45AM
(#20574362)
A stock buy-back increases the stock price, by definition (by creating demand for it where there was none). Absent buy-backs, the stock price would be lower. That statement doesn't require a "should".