Submitted by Mark Hanna
Courtesy of MarketMontage. View original post here.
To no one’s surprise, Apple (AAPL) announced a dividend today – relatively measly at $2.65 per quarter, or under $11 a year. On a $600 stock that is a 1.8% yield. Also, starting in September 2012 the company announced a $10B share repurchase (over 3 years) – again measly and without having the data in front of me, probably just sops up a bunch of their yearly option exercisements.
….“with the primary objective of neutralizing the impact of dilution from future employee equity grants and employee stock purchase programs.”
Overall this will use $45B worth of cash over the next 3 years – in aggregate a huge number of course but of course in 3 years the company will have tons more cash than it has today.
The stock was back up to $600ish in premarket after ‘stumbling’ for a few days late last week, but as I type is down to mid $580s.
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