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Technology Stocks : Apple Inc.
AAPL 256.25+3.3%3:09 PM EST

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To: Cogito who wrote (124585)1/25/2012 9:32:11 PM
From: Keith Feral1 Recommendation  Read Replies (2) of 213182
 
Apple outearnned BAC, JPM, C and WFC combined last quarter.

I used to think it was nuts that Apple had a higher market cap than BAC, C, WFC, and JPM combined. But, Apple's $13 billion profit was about $4 billion higher than those banks in the 4th quarter.

Apple is becoming an industry of it's own. I think they should do a 10 for 1 split, get the stock price back to $50 and then announce a 3% dividend. That should give everyone a chance to buy their stock at a reasonable price no matter how high it jumps after the announcement. It really wouldn't matter if the stock was $50 or $60 after the split.

Cramer keeps telling everyone that they should divide Apple's share price in 10 do get a realistic value of what they are buying. A move from $42 to $44.6 today hardly even seems like a big deal. I'd like to see Apple make that a reality so that Apple stock doesn't end up like Google for the next 5 years swinging up and down in a 200 point trading range. Who wouldn't want to buy Apple at $50 with a $12 billion annual dividend?

By the June quarter, Apple would have enough cash on their balance sheet to finance 12 years worth of $12 billion dividends. If Apple announces any kind of capital plan that would include 25% of net income as a dividend base, I expect to see a big split announcement out of Apple to make it relevant.
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