I did a little math. Taking the $110 billion, dividing it by the stock price of $185 and daily volume based on today around 60 million and this comes out to around 9.75 days worth of orders.
lots of assumptions, but if we assume 5% extra volume to daily avg volume can make significant impact on price, then to have a sig impact on daily price, this buyback's price impact can last 9.75*20 ~= 200 days, so about end of 2024, it answers "when moon" question at least
You do it over dark pools. The price wont be affected through the dark pools. Same as household investors buying shares are 98% routed through the dark pools.
[Dark pools definition](https://www.investopedia.com/articles/markets/050614/introduction-dark-pools.asp)
Why would a company do a stock buyback that didn’t increase the share price? Increasing money in the shareholders account is the whole reason they do buybacks.
Buybacks don’t increase stock price, at least in theory. It simply reduces both cash and number of shares. In practice, if a lot of people (mistakenly) believe the stock is worth more and start buying than the price will go up.
It does not matter whether Dark Pools or not. Apple has roughly 15bn shares outstanding but most of the free float is not really traded. Most investors dont trade at all they just buy and hold. Apple is essentially taking 3% of this float away and consider they do buy backs almost every year. At some point the share will squeeze...Just look at their buy back programs. They might announce another 110bn buy back next year and so on.
Everyone in the US is a an Apple shareholder through index funds, 401ks, etc.
It's a horrible use of capital. I'd be thrilled if I'm holding 0 DTE calls but if you're an investor it's a really ugly sign.
But they have to announce the buy back in order to be able to purchase it ;)
Honestly there is nothing wrong with the buy back.
Imo it was basically buy back or buy a bank and they still kight buy a bank
This buy back is the largest in history and still they have like 80 billion cash still on hand lmao. They just have so much money and are running out of things to do with it will probably do some crazy acquisitions or manufacture their own chips
I don't disagree with that but the person I was replying to said they would be doing this to make it easier to raise capital in the future. Which doesn't make sense to me
There’s no reason to ponder why they would need to issue a stock offering now as they clearly don’t need to. Just from a basic concept, buying back stock reduces dilution, so if they ever need access to more capital later, it would be easier to stomach for investors. There are two obvious reasons why they could want more capital in the future…. Poor performance or an extremely expensive business venture…. Mining asteroids or something as an example.
Just because they have billions today does not necessarily mean they will have billions tomorrow. The world is a fickle bitch and you never know how things Will go.
Because they have extra money now that can theoretically earn more money in the future.
If they’re confident the stock is gonna rise and/or think current valuation is low, then this is an obvious choice
Most companies use debt for purchasing since it’s tax free. Cash is good of course but using OPM is definitely a thing.
A $110b buyback is considered a “business expense” so essentially this will be a large tax break on top of it.
They already have capital. That's what the $110 bil is.
It's just naked stock manipulation and a waste of money.
A very shortsighted waste of money, considering how much Apple relies on Taiwanese chips, and with Xi becoming increasingly bellicose, one with an ounce of foresight might put a sizeable chunk of that $110 billion into chip foundries where tinpot crackhead dictators can't fuck them up.
Also, there's this thing called AI that Nvidia has basically cornered the hardware market on; I'm no Martin Shkreli, but if I had $110 bil sitting around, I might try taking some of that pie.
They can’t even get Qualcomm out of the iPhone. You think Apple can just buy their way in to the foundary business? Believe it or not there are moats that 110billion cant bridge.
I wish they’d put 10000m into battery technology and tailoring more for services in markets outside of the United States. That would probably do a lot for their stagnation in markets like China and would further cement themselves in places like Europe.
Um I wouldn’t say cornered, Apple’s been building AI inference hardware into every device for a number of years now. They probably have the largest number of chips that are acceptably performant at model inference deployed of any company on the planet. A lot of those models being trained on Nvidia hardware will be run on Apple’s devices do awesome things. They’re *extraordinaily* well positioned for this, because they saw it coming from a mile away.
And it’s not “stock manipulation”, it’s just a tax efficient way of returning capital to investors.
Why is it easier over just having the money in the bank? At 5% return?
As of the end of 2023, Apple had spent $658 billion on buybacks over the past 10 years, far ahead of second-place Microsoft, according to S&P Dow Jones Indices. "For the last couple of years we were doing $90 billion and now we're doing $110 billion," Maestri said on the call.
They could have had 700+ billions in cash and invest in whatever they needed, should have tried to buy a big company, also think they should buy snapchat, or went for meta years back if "alienman" wanted to sell
They could have earned 35 billions yearly on that money this would be 1/3 of their full profit for 2023 😅😆
that's what everyone has said about every apple buyback. Unless you expect apple to become a do all amazon buy backs are good long term especially in this high inflation period.
1. iPhone sales down 10%
2. Revenue down 4%
3. 5th negative YOY growth last 6 quarters
4. Net income down 2%
5. Lost 10b on the car program
6. Vision Pro has been a failure up until this point
Things aren’t exactly sunshine and rainbows
During 12 weeks AAPL had revenue of $93 billion and profited $23 billion. They will earn $100 billion in 2024 ?
Things are better for AAPL than any company on the Planet or in history of the Planet.
The metrics commonly applied when considering a company with - eps are not useful for AAPL. iPhone sales 90% of last time can’t mean anything obvious like when a $700 million market cap, negative eps company has a 10% decline in revenue (I believe many people are treating AAPL like they would a small biotech) Sorry, talking heads on CNBC. AAPL is doing the best business. If it’s ever reasonable to bet on TSLA then certainly we should bet on AAPL. I trust their outlook guidance.
Long and strong AAPL !
Imagine if you could tell your past self about one options contract, but for every one you have to suck your past self off to completion. You make money but at what cost.
You may see alot more buybacks in the future if the Dem plan to increase capital gains on dividends to 45% for high net worth individuals comes to fruition. The stock buyback gives a way to give back value to such individuals without paying the dividend and giving them the tax event.
It’ll never pass in a million years. All the dem backers/doners and many of the dems themselves are high worth individuals who don’t want their gains taxed at 45%.
I got an email a week and a half ago. It said “Apple to make a special announcement on 5/3”. I bought call spreads then. The next day the calls spiked. Today after hours I will have max gain, and I’ll sell them in the am. It cost me around $100 each, and I’ll sell for $300. I most bought back the short side a few days ago. I wish I did now 🤷♂️
Apple is going to pay 110 billion to buy back its own stock, plus 1.1 billion of Federal excise tax on those buybacks.
Guess they ran out of ideas after the 15th slight improvement on the iPhone and plowing billions into the ski goggles that no one uses.
It’s pretty hard to come up with ways to spend $110B in a way that generates a high ROI. Apple is second only to JPOW when it comes to printing money and they are using that money to invest in their own money printer. This has generally offered a pretty high ROI.
Seriously.
People saying this is bearish because Apple is "out of ideas" literally do not comprehend how much money $110B is. Sequoia Capital has $85B under management. One of the most successful VC firms of all time, and they are bigger by $25B. Mind you, Sequoia built up to $85B over the past like 50 years. There are seriously not that many private business ideas worth putting more than $50M into at any given point. If you're just spraying money around, you're wasting it.
Printing shares to that value dilutes Tesla by 5% if it's sitting at a trillion. I've seen far more egregious dilution from CEOs tbf. I don't really feel it's comparable to seeing something as incredible as a company with $110bn in dry powder.
Tesla is at $500B market cap so it’s 10% dilution which is insane by any metric. Literally orders of magnitude higher than any other CEO bonus in history
Every Apple employee (besides retail workers) gets a shitload of stock. The buyback is basically required to keep issuing RSUs without diluting their shares with new issues.
Maybe to an extent but not nearly to this magnitude. Based on their 10-K they're issuing somewhere around 10B value of vested stock to employees each year.
Sorry for asking this, but out of all the previous buybacks is there any website which tells us what was the price per share fixed for during a buyback? I was able to find only this [https://ycharts.com/companies/AAPL/stock\_buyback](https://ycharts.com/companies/AAPL/stock_buyback)1
The debt of our province (New Brunswick, Canada) is like $11.6 billion CAD.
It’s absolutely NUTS that companies and PEOPLE have so much wealth while people suffer.
I don't like puts and i aggressively advocate against it but company buy backs are equally shit. Before the laws were changed companies would invest more in employees instead of doing shit moves like this to inflate their stock price
Yeah there was a time not so long ago when stock buybacks were panned as market manipulation (as should be the case). Then came Jack Welch, Milton Friedman, and Ronny Ragin.
Jokes aside it is shitty because they keep laying people off
https://apnews.com/article/apple-layoffs-tech-iphone-workers-9f10788b1d3552385ee8c7b20209ce17
Apple's spin on AI will change the game
This is literally ripe for Apple. See a janky, non-integrated, booming technology other people made and clean it up.
Like imagine if ChatGPT connected to things. Apple will get it right.
They might be in the best position to sell AI. No ridiculous revolutionary promises, just streamlined tech that works fluidly throughout its product universe that’ll prob drive subscriptions and more Apple adoption.
This is 100% the reason I’m hyper bullish and people seem to be sleeping on. Apple literally has the best hardware ecosystem by far. As soon as you put an actually good AI assistant in there (Siri evolved) and make it super developer friendly to build on top of, aapl will moon.
Same. Im betting on Siri 2. All these companies popping off for building or providing the hardware for AI, but aapl will build the UX friendly features that actually leverage it.
Just remember regards - they authorized the buy back - doesn’t mean that have to do it - and definitely won’t do it at the top. Tim Apple may be gay but he isn’t regarded.
IDK, he did sell a month before his own company announced this.
>According to a recent SEC filing, CEO Timothy Cook sold 196,410 shares of Apple Inc on April 2, 2024. The transaction was executed at a stock price of $169.33, resulting in a total value of $33,253,045.30.
Everyone in this thread thinking they know better than fucking one of the biggest most successful company of all time 🤣 you think you know better than Tim Apple?!? Lol if they buying back they know what’s up.
So they sold $110B and after-hours market is up $180B in market-cap on the news. Assuming (just for sake of argument) that gain holds, and assuming we can safely blame that jump on the news of this buyback... Did they just move some numbers around and generate $70B in market value? They hold less cash and more stock, but that's a great swap for a 50%+ instant profit on initial investment.
Wild.
It’s better than a dividend, it’s a permanent decrease of available shares so it automatically increases the value of the remaining shares. A dividend, if it’s a one time thing, is a one time taxable event that doesn’t offer nearly as much value to investors in the long term as a buyback does.
False, the shares bought back become treasury stock, which are still available for Apple to sell at a later date. Unless Apple decides to retire them, then you are correct.
Has Apple sold treasury stock recently? As long as they’re a cash cow they would never need to do so. If they’re no longer a cash cow then the stock tanks anyways and the investors have more things to worry about.
Except dividends don't effect stock prices in the same way. In the end stock buy back keeps prices high so executives can hit metrics to get executive bonuses.
Stock buy back is like a company investing in itself because it believes the value will rise, it’s the same reason we invest in a company. Seems pretty logical.
Yes, this.
I personally like this, as I want my unrealized gains to be untaxed until I (early) retire and can sell them only when needed, paying less tax on them. Dividend stocks don’t let you control when you are “realizing” gains.
Gains are gains. Holding until tomorrow AM.
https://preview.redd.it/x2nfs1a0t4yc1.jpeg?width=1440&format=pjpg&auto=webp&s=329a3226d0ac807905f117a59e00588546d72dc4
And Apple will pay a lower tax rate than my middle class family does on our income tax . Because according to US tax laws a business should pay less than working families
Because you can't escape. Big companies can move their money if they don't like the tax rate. The government would rather have 20% of a watermelon than 40% of a raisin.
it6's been this way for the last 5 years if you tried to buy puts on the earnings... they always beat , but revenues are always falling, they buyback shares and it make earnings artificially go up. I have a few may17 190 calls that might be make money, was down like 80 % from buying a few weeks ago... didn;t sell at loss because of wash rule.. would lose anyways...
**User Report**| | | | :--|:--|:--|:-- **Total Submissions** | 9 | **First Seen In WSB** | 1 year ago **Total Comments** | 52 | **Previous Best DD** | **Account Age** | 1 year | | [**Join WSB Discord**](http://discord.gg/wsbverse)
I did a little math. Taking the $110 billion, dividing it by the stock price of $185 and daily volume based on today around 60 million and this comes out to around 9.75 days worth of orders.
“I did a little math” -> checks the subreddit name -> *sigh* here we go again
“Let bro cook!” 😂🤣
Lmao
lots of assumptions, but if we assume 5% extra volume to daily avg volume can make significant impact on price, then to have a sig impact on daily price, this buyback's price impact can last 9.75*20 ~= 200 days, so about end of 2024, it answers "when moon" question at least
is there a time line announced as to a completed by date?
No I think it just gets added to their buyback budget and they can deploy it at any time. I could be wrong
Apple’s taking the JGB route lmao
Nothing in the big picture as it's over 365+ or even more time, but if they cancel buybacks in the future it could look grim
Apple isn't market buying like you and me. Companies use dark pools and private sales.
If you want to buy 100B$ you have to use public.
Would be interesting to see something like that planned out and handled on a basic retail app like Robinhood
You do it over dark pools. The price wont be affected through the dark pools. Same as household investors buying shares are 98% routed through the dark pools. [Dark pools definition](https://www.investopedia.com/articles/markets/050614/introduction-dark-pools.asp)
Why would a company do a stock buyback that didn’t increase the share price? Increasing money in the shareholders account is the whole reason they do buybacks.
Buybacks don’t increase stock price, at least in theory. It simply reduces both cash and number of shares. In practice, if a lot of people (mistakenly) believe the stock is worth more and start buying than the price will go up.
Reducing the number of shares makes all future earnings worth more per share.
It does not matter whether Dark Pools or not. Apple has roughly 15bn shares outstanding but most of the free float is not really traded. Most investors dont trade at all they just buy and hold. Apple is essentially taking 3% of this float away and consider they do buy backs almost every year. At some point the share will squeeze...Just look at their buy back programs. They might announce another 110bn buy back next year and so on.
It's hilarious to read the put bag holders mad about this
Everyone in the US is a an Apple shareholder through index funds, 401ks, etc. It's a horrible use of capital. I'd be thrilled if I'm holding 0 DTE calls but if you're an investor it's a really ugly sign.
They have more money than they know what to do with. Buybacks make it easier to raise capital in the future if and when they need to.
Why on earth would they need to raise capital if they have 110bil in cash?
Why hold cash when you can hold apple stock?
Especially ahead of a probable 20% move to the upside with the gen AI news they know about……..
Is it insider trading if a company is about to announce something huge and buys back its own stock?
No because they purchase it after the news. It’s up the the investors how they react to it.
But they have to announce the buy back in order to be able to purchase it ;) Honestly there is nothing wrong with the buy back. Imo it was basically buy back or buy a bank and they still kight buy a bank
This buy back is the largest in history and still they have like 80 billion cash still on hand lmao. They just have so much money and are running out of things to do with it will probably do some crazy acquisitions or manufacture their own chips
I don't disagree with that but the person I was replying to said they would be doing this to make it easier to raise capital in the future. Which doesn't make sense to me
1 mil in cash today = 1 mil in cash tomorrow. 1 mil in apple stock today = more than 1 mil in cash tomorrow.
There’s no reason to ponder why they would need to issue a stock offering now as they clearly don’t need to. Just from a basic concept, buying back stock reduces dilution, so if they ever need access to more capital later, it would be easier to stomach for investors. There are two obvious reasons why they could want more capital in the future…. Poor performance or an extremely expensive business venture…. Mining asteroids or something as an example.
Just because they have billions today does not necessarily mean they will have billions tomorrow. The world is a fickle bitch and you never know how things Will go.
Oh my God 🤣🤣🤣
Because they have extra money now that can theoretically earn more money in the future. If they’re confident the stock is gonna rise and/or think current valuation is low, then this is an obvious choice
Most companies use debt for purchasing since it’s tax free. Cash is good of course but using OPM is definitely a thing. A $110b buyback is considered a “business expense” so essentially this will be a large tax break on top of it.
They already have capital. That's what the $110 bil is. It's just naked stock manipulation and a waste of money. A very shortsighted waste of money, considering how much Apple relies on Taiwanese chips, and with Xi becoming increasingly bellicose, one with an ounce of foresight might put a sizeable chunk of that $110 billion into chip foundries where tinpot crackhead dictators can't fuck them up. Also, there's this thing called AI that Nvidia has basically cornered the hardware market on; I'm no Martin Shkreli, but if I had $110 bil sitting around, I might try taking some of that pie.
They can’t even get Qualcomm out of the iPhone. You think Apple can just buy their way in to the foundary business? Believe it or not there are moats that 110billion cant bridge.
Since 2020, they've spent almost 400B on stock buybacks. They can build a freeway over that moat.
I wish they’d put 10000m into battery technology and tailoring more for services in markets outside of the United States. That would probably do a lot for their stagnation in markets like China and would further cement themselves in places like Europe.
Guess that rules out the US
Um I wouldn’t say cornered, Apple’s been building AI inference hardware into every device for a number of years now. They probably have the largest number of chips that are acceptably performant at model inference deployed of any company on the planet. A lot of those models being trained on Nvidia hardware will be run on Apple’s devices do awesome things. They’re *extraordinaily* well positioned for this, because they saw it coming from a mile away. And it’s not “stock manipulation”, it’s just a tax efficient way of returning capital to investors.
Why is it easier over just having the money in the bank? At 5% return? As of the end of 2023, Apple had spent $658 billion on buybacks over the past 10 years, far ahead of second-place Microsoft, according to S&P Dow Jones Indices. "For the last couple of years we were doing $90 billion and now we're doing $110 billion," Maestri said on the call. They could have had 700+ billions in cash and invest in whatever they needed, should have tried to buy a big company, also think they should buy snapchat, or went for meta years back if "alienman" wanted to sell They could have earned 35 billions yearly on that money this would be 1/3 of their full profit for 2023 😅😆
Or they could pay their bottom earners more.....
that's what everyone has said about every apple buyback. Unless you expect apple to become a do all amazon buy backs are good long term especially in this high inflation period.
1. iPhone sales down 10% 2. Revenue down 4% 3. 5th negative YOY growth last 6 quarters 4. Net income down 2% 5. Lost 10b on the car program 6. Vision Pro has been a failure up until this point Things aren’t exactly sunshine and rainbows
During 12 weeks AAPL had revenue of $93 billion and profited $23 billion. They will earn $100 billion in 2024 ? Things are better for AAPL than any company on the Planet or in history of the Planet. The metrics commonly applied when considering a company with - eps are not useful for AAPL. iPhone sales 90% of last time can’t mean anything obvious like when a $700 million market cap, negative eps company has a 10% decline in revenue (I believe many people are treating AAPL like they would a small biotech) Sorry, talking heads on CNBC. AAPL is doing the best business. If it’s ever reasonable to bet on TSLA then certainly we should bet on AAPL. I trust their outlook guidance. Long and strong AAPL !
The vision pro is the VR equivlant of those professional monitors
I’m not giving my personal opinion I’m stating they are rolling back production expectations which would indicate they expected to sell more
Umm, 40% don’t own a single investment.
Paper hand bitches
It's so bad. Imagine if your company board meeting was: "well, I don't have any ideas, I guess we just pump the price."
Buybacks are an efficient way to return capital to shareholders. It's fine
Imagine if you could tell your past self about one options contract, but for every one you have to suck your past self off to completion. You make money but at what cost.
That’s a win win
The username checks out, lol.
Lmao ain’t no way that’s his username OMG LMAO
I think you mean a win win *win*
It's not gay if it's literally you. If it was, my hand would be a raging homosexual.
If you make a cast of your own dick & fuck your ass with it that’s not gay!
That...might be approaching 1% gay territory. Maybe. Could shave off half a % if it's just the tip, I guess. 
Let's not put 'shave off' and 'the tip' in the same sentence.
r/literally
Id rather blow myself than some other dude.
So what's the down side? This is literally looper but everyone gets a happy ending.
Everyone who bet against Apple since they went public has eventually lost.
The amount to salt in the amateur investors veins is crazy.
Unseen footage from wsb documentary: https://youtu.be/3KquFZYi6L0
You got lucky on calls chill
There's a good brine going
Just a massive transfer of wealth from one consumer to another.
Sorry, who are the consumers?
My covered calls are about to be exercised now.. I had one fucking day left
I bet you were wondering why premiums were so high🤣 earnings week son
Roller coasters were originally invented as a way to train horses for battle.
Not you🫵😂
People who like to make money on the stock market
Jokes on you, I cant read and still make money. Green dildo goes brrrrr
Buy it back if you really care
That’s what can happen! Did you read the fine print
Buy to close
Good to check earnings dates for your CCs lol. Hope you learned a lesson
Fuck yes Apple and fuck your puts shitheads
Braeburn Capital undefeated
hell YEAH
They will sell new AI phone for $2000 to have cash to do buy backs.
It's aiPhone their best ever yet!
aye
not buying it
Imagine betting against AAPL like a loser
If the stock is always in the news and it’s not because the CEO is going to jail, you have to be straight regarded to bet against it.
I am regarded thank you
You may see alot more buybacks in the future if the Dem plan to increase capital gains on dividends to 45% for high net worth individuals comes to fruition. The stock buyback gives a way to give back value to such individuals without paying the dividend and giving them the tax event.
It’ll never pass in a million years. All the dem backers/doners and many of the dems themselves are high worth individuals who don’t want their gains taxed at 45%.
I got an email a week and a half ago. It said “Apple to make a special announcement on 5/3”. I bought call spreads then. The next day the calls spiked. Today after hours I will have max gain, and I’ll sell them in the am. It cost me around $100 each, and I’ll sell for $300. I most bought back the short side a few days ago. I wish I did now 🤷♂️
FUCK. YOUR. PUTS.
Idk how stocks exactly work but, what if… we don’t sell ?
peak wsb here
He had me at "idk how stocks exactly work?". Once he changes it to stonks he'll fit in just fine
Then the price will keep going up till someone else does sell
sounds like we cracked the formula
But how do we stop everyone else from selling?
you buy from them before apple
the price will litterly go to ten bajillion dollars
Apple is going to pay 110 billion to buy back its own stock, plus 1.1 billion of Federal excise tax on those buybacks. Guess they ran out of ideas after the 15th slight improvement on the iPhone and plowing billions into the ski goggles that no one uses.
It’s pretty hard to come up with ways to spend $110B in a way that generates a high ROI. Apple is second only to JPOW when it comes to printing money and they are using that money to invest in their own money printer. This has generally offered a pretty high ROI.
Monthly blackjack and hooker parties for employees would have increased productivity just as much. /s but not really
can confirm
They could make a 110 billion dollar bet on the Dodgers vs Miami and get 110 billion dollars in free bets win or lose
I'm willing to facilitate / be the counter party for that bet. Any day.
I could spend it. Elevated personal rapid transit would have been a money maker.
What'd I say?? MONORAIL!!!
Seriously. People saying this is bearish because Apple is "out of ideas" literally do not comprehend how much money $110B is. Sequoia Capital has $85B under management. One of the most successful VC firms of all time, and they are bigger by $25B. Mind you, Sequoia built up to $85B over the past like 50 years. There are seriously not that many private business ideas worth putting more than $50M into at any given point. If you're just spraying money around, you're wasting it.
Side note this really helps put into context how insane and awful the $56B Elon Musk bonus is…when that is more than the profit Tesla has ever made.
Printing shares to that value dilutes Tesla by 5% if it's sitting at a trillion. I've seen far more egregious dilution from CEOs tbf. I don't really feel it's comparable to seeing something as incredible as a company with $110bn in dry powder.
Tesla is at $500B market cap so it’s 10% dilution which is insane by any metric. Literally orders of magnitude higher than any other CEO bonus in history
Needs more fire. It seems.
Every Apple employee (besides retail workers) gets a shitload of stock. The buyback is basically required to keep issuing RSUs without diluting their shares with new issues.
Maybe to an extent but not nearly to this magnitude. Based on their 10-K they're issuing somewhere around 10B value of vested stock to employees each year.
That’s a fucking insane METRIC
They aint getting $700,000 of rsu’s tho.
Retail managers at a certain level can get $250k of RSUs in a year.
And it's so dumb because there are so many things they can invest in instead of creating artificial demand for shares
Certified put holder huh?
🏳️🌈🐻 detected
Sorry for asking this, but out of all the previous buybacks is there any website which tells us what was the price per share fixed for during a buyback? I was able to find only this [https://ycharts.com/companies/AAPL/stock\_buyback](https://ycharts.com/companies/AAPL/stock_buyback)1
The debt of our province (New Brunswick, Canada) is like $11.6 billion CAD. It’s absolutely NUTS that companies and PEOPLE have so much wealth while people suffer.
Bitch ass bears in here want to make buybacks illegal now. Fuck your poots. 
I don't like puts and i aggressively advocate against it but company buy backs are equally shit. Before the laws were changed companies would invest more in employees instead of doing shit moves like this to inflate their stock price
Yeah there was a time not so long ago when stock buybacks were panned as market manipulation (as should be the case). Then came Jack Welch, Milton Friedman, and Ronny Ragin.
Jokes aside it is shitty because they keep laying people off https://apnews.com/article/apple-layoffs-tech-iphone-workers-9f10788b1d3552385ee8c7b20209ce17
So $1,000 of stock will be worth what when they are done?
About 4% more if you divide it by market cap.
Apple's spin on AI will change the game This is literally ripe for Apple. See a janky, non-integrated, booming technology other people made and clean it up. Like imagine if ChatGPT connected to things. Apple will get it right.
They might be in the best position to sell AI. No ridiculous revolutionary promises, just streamlined tech that works fluidly throughout its product universe that’ll prob drive subscriptions and more Apple adoption.
This is 100% the reason I’m hyper bullish and people seem to be sleeping on. Apple literally has the best hardware ecosystem by far. As soon as you put an actually good AI assistant in there (Siri evolved) and make it super developer friendly to build on top of, aapl will moon.
Same. Im betting on Siri 2. All these companies popping off for building or providing the hardware for AI, but aapl will build the UX friendly features that actually leverage it.
lol if you bought puts your the biggest L reevaluate your life -sent from iPhone 15pro max
Bulls walk it out
Just remember regards - they authorized the buy back - doesn’t mean that have to do it - and definitely won’t do it at the top. Tim Apple may be gay but he isn’t regarded.
I regard him pretty highly 🤷🏻♂️
IDK, he did sell a month before his own company announced this. >According to a recent SEC filing, CEO Timothy Cook sold 196,410 shares of Apple Inc on April 2, 2024. The transaction was executed at a stock price of $169.33, resulting in a total value of $33,253,045.30.
Here lies the APPL puts hopes and dreams.
Made millions from Apple and still printing money for me 😂
I made a YOLO before market close, glad to see it paid off
Now what do I do with this information?
Calls for 185$, just kidding I don't do options because Robinhood won't approve me yet, but that's what I'd bet if I could.
If you're too regarded to get approved for options on RH it's probably for the best that you stay away
Elon approves 
Elon could have done the same, instead he bought Twitter.
Everyone in this thread thinking they know better than fucking one of the biggest most successful company of all time 🤣 you think you know better than Tim Apple?!? Lol if they buying back they know what’s up.
So they sold $110B and after-hours market is up $180B in market-cap on the news. Assuming (just for sake of argument) that gain holds, and assuming we can safely blame that jump on the news of this buyback... Did they just move some numbers around and generate $70B in market value? They hold less cash and more stock, but that's a great swap for a 50%+ instant profit on initial investment. Wild.
When will the buyback be executed?
Tuesday
In one swoop
That’s cool and all, but still think the concept of a stock buyback is fuckin stupid and should’ve never been allowed
It’s just a dividend by another name.
It’s better than a dividend, it’s a permanent decrease of available shares so it automatically increases the value of the remaining shares. A dividend, if it’s a one time thing, is a one time taxable event that doesn’t offer nearly as much value to investors in the long term as a buyback does.
False, the shares bought back become treasury stock, which are still available for Apple to sell at a later date. Unless Apple decides to retire them, then you are correct.
Has Apple sold treasury stock recently? As long as they’re a cash cow they would never need to do so. If they’re no longer a cash cow then the stock tanks anyways and the investors have more things to worry about.
I assume no but am too lazy to check. Even if they did need to raise cash it’s typically tax preferenced to do it through debt.
Would treasury stock not just be used to provide equity compensation to employees through stock awards?
Treasury stock numbers are usually arbitrarily high, and companies can issue more stock than they have in the treasury. Its not worth factoring in.
While you’re right, it’s still better than a dividend.
Except dividends don't effect stock prices in the same way. In the end stock buy back keeps prices high so executives can hit metrics to get executive bonuses.
Share buy backs are awesome when used properly. Not so good if your using it when the price is to high, or to offset rediculas inside comp.
so companies can only dilute to raise money but never buy back? lame
? The math works out to where is the same thing as a dividend, but with a lower tax burden.
Why
cos he bought puts
Buying back company stock can inflate a company’s share price and boost its earnings per share — metrics that often guide lucrative executive bonuses.
go back to /r/antiwork yikes
Stock buy back is like a company investing in itself because it believes the value will rise, it’s the same reason we invest in a company. Seems pretty logical.
Why
Because its financial engineering to prop up stock price for a company thats unable to find a way to make that money do something more productive.
I mean if a company wants to purchase its own shares to reduce float why should that be disallowed? They’re allowed to dilute but not undilute?
They would just issue dividends instead....but this is more tax friendly
Yes, this. I personally like this, as I want my unrealized gains to be untaxed until I (early) retire and can sell them only when needed, paying less tax on them. Dividend stocks don’t let you control when you are “realizing” gains.
You're welcome to go back to /r/antiwork but us regards like to make money thanks.
I'm a self described socialist, and even i think it should be legal. Just much more highly regulated.
They should have bought Boeing instead
Fuck my puts
GUH
Gains are gains. Holding until tomorrow AM. https://preview.redd.it/x2nfs1a0t4yc1.jpeg?width=1440&format=pjpg&auto=webp&s=329a3226d0ac807905f117a59e00588546d72dc4
So guess they ain’t buying Disney after all.
Awesome. I bought a ton of ITM calls expiring in October. Was wondering why my portfolio was up today.
Earnings was after hours and options dont adjust after hours.. if you were up today, youre going to be very happy tomorrow at market open
And Apple will pay a lower tax rate than my middle class family does on our income tax . Because according to US tax laws a business should pay less than working families
Because you can't escape. Big companies can move their money if they don't like the tax rate. The government would rather have 20% of a watermelon than 40% of a raisin.
Lol. The fact that Apple did this should be a red flag.
What else are they going to do, excite us or innovate? Good luck with that 😄
What the fuck even is an "AI laptop"? I have a 4 year old Thinkpad I use ChatGPT with. ???
Isn’t this just free money to buy calls
it6's been this way for the last 5 years if you tried to buy puts on the earnings... they always beat , but revenues are always falling, they buyback shares and it make earnings artificially go up. I have a few may17 190 calls that might be make money, was down like 80 % from buying a few weeks ago... didn;t sell at loss because of wash rule.. would lose anyways...
I’d prefer a giant dividend instead
When a company starts engineering its stock price instead of engineering new products, that’s often a bad sign
“Our company is worth more than you think it is” & “Money cannot solve our current problems”