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Technology Stocks : Apple Inc. -- Ignore unavailable to you. Want to Upgrade?


To: JP Sullivan who wrote (132776)5/2/2012 12:24:49 PM
From: XoFruitCake  Respond to of 213172
 
No problem, just do a Microsoft. Issue debt in the US at a ludicrously low rate and use it to pay dividends and buy back shares. If interest on the debt is tax deductible, even better <LOL!>
heh heh, yes, indeed, they can do something similar if they so desire to buy back stock.. They may even just buy the stock back and hold it in the foreign sub instead cancelling those shares and start using pro-forma earning number. But if we want to do the math for ex-cash PE, I think it is only fair to subtract the tax liability as well to figure out what the real ex-cah-ex-tax liability PE. I personally don't use that valuation since CEO has a tendency to "invest" those cash in something that don't have any return (sort of like facebook is doing with their money now). They need to show me the money by giving it back to us in divy or buy back the shares



To: JP Sullivan who wrote (132776)5/2/2012 12:44:52 PM
From: Cogito  Read Replies (1) | Respond to of 213172
 
When people mention the 35% tax for repatriation of funds, they fail to realize that Apple has no plans to bring that money back to the States. Their stated intention is to reinvest that money overseas. I'm sure they also use it to pay their Asian suppliers and manufacturers.