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Breakingviews: iPhone beats iCahn

Thursday, April 24, 2014 - 02:44

April 24 - Breakingviews columnists discuss Apple’s quarterly results and why they’d prefer to see CEO Tim Cook unveil new products rather than financial tweaks like those demanded by Carl Icahn.

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Apple's biggest company in the world worth roughly 500 billion dollars. But rove is with -- it -- a meticulous about forty billion dollars more today than it was yesterday after putting innings in the evening what that people liked about the their earnings were OK the company's revenue grew about 6%. Fair enough but the problem is that what this is really -- -- the fact that the companies are turning at least thirty billion dollars more cash to investors probably actually work that the -- -- increased about secretary billion impeachment -- and dividends and they're splitting the stock to which it -- -- often just as excited as -- -- -- kind of strange -- yes but by the comedy -- -- but it did make an apple cup and it but. This is what people like -- like on it before that sort of David -- on other. And activists have been asking -- to the -- can expect to -- his list sitting on you know it is huge united cats but this is not really what this is how -- -- came one this is -- -- in front of -- billion dollar company dropped by not -- financial engineering. They're changing is great I mean the companies like any benefit for the 150. Billion of cash its current balance sheet however it's created a lot of wealth by. Making gadgets like the iPhone the iPad iPod you know they've all they were all iconic consumer devices. In the coming up and up front for what it's -- yet been since 2010 -- happens let's introduce -- and -- -- efforts of all of these objects -- have come down really substantially you know companies basically maternal line is Angela thickness of -- defense -- -- little Spezza growth than people expected which is the real -- which -- which is the yanks are -- -- and I think China does little -- -- -- -- it was expected that that takes -- -- that's good but. What people want to see is his could do is announce a new product no undue financial -- yen and they've been promising this for for quite some time now. The company wasn't. Any more concrete this time than they have -- they said you know hold on -- things are coming apple doesn't release gaps until they're they're actually right you know we've never actually been first on these things. But we do the objects correctness never knows that it's going to work. And a promising that the problem what do what do we think that promising -- you know they said apple TV is no longer a hobby it's kind of a serious business for apple. You know so that means that perhaps something more coming there they've always have been doing some work and watches and perhaps some others we don't know yet. So we're still holding on that that investors are getting you know it. At some point all these returns are cash are gonna do it any -- came into some new gadget and it thanks so believe -- stay tuned for more breaking news tomorrow.

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Breakingviews: iPhone beats iCahn

Thursday, April 24, 2014 - 02:44