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Technology Stocks : Apple Inc.
AAPL 278.18+0.3%2:26 PM EST

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To: Cogito who wrote (78561)10/5/2008 12:21:58 AM
From: Win-Lose-Draw  Read Replies (1) of 213176
 
You think Apple has been accumulating cash so that they can take the company private...

Let's just say it's a thought I've been turning over in my head. NeXT never went public, and Pixar only did so after 10 years in business and after noises started surfacing about Jobs and Apple re-uniting.

Given the difference in personalities, I would say going private is considerably more likely than some kind of Microsoft-style massive stock buyback or gargantuan one-time dividend. It certainly fits Jobs' management style better than being a publicly-traded company, what with all that poking around and annoying questioning they have to put up with. :)

...after it falls to 50 bucks a share?

I don't think it's falling to 50. There's just too much cash, especially if we're heading into a Cash Is King economic period. IMO someone would gun for it well before then (*cough* DELL *cough*).

The deals floating around the financial world should put Apple's cash hoarde in perspective - they could have done the Buffet/Goldman deal three times over and still have a pile of bills left. Overnight, they could have become one of the biggest forces in banking. Again, that's just illustrative, I'm not in anyway suggesting they should have done such a thing! :)

I don't get how using the company's own cash to take it private would work.

When market cap is not far from cash value, it's just an LBO with a very light "L".

BTW, I'm certainly open to alternate uses for the ginormous and growing cash horde.
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