Apple shares rose about 2% Tuesday on news that billionaire activist investor Carl Icahn had dinner with Apple chief executive Tim Cook on Monday and “pushed hard” for a buyback.
“Had a cordial dinner with Tim last night. We pushed hard for a $150 billion buyback. We decided to continue dialogue in about three weeks,” Icahn tweeted Tuesday.
In August, Icahn said “Apple has the ability to do a $150 billion buyback now by borrowing funds at 3%.”
At the time, he also said, “If Apple does this now and earnings increase at only 10%, the stock — even keeping the same multiple currently — should trade at $700 a share.”
Tuesday, shares of Apple rose 1.85% to trade at more than $485 a share.
A source familiar with the matter, who declined to be named because Icahn hasn’t disclosed his holdings in Apple, said the investor’s stake was worth about $1 billion, a fraction of the company’s market value of more than $400 billion.
Cook did not mention the dinner in any tweets Tuesday.
Inside look at NUMC's aging infrastructure President and CEO of Nassau University Medical Center Thomas Stokes explains the problems caused by the aging infrastructure within the hospital. Newsday Associate Editor Joye Brown reports.
Inside look at NUMC's aging infrastructure President and CEO of Nassau University Medical Center Thomas Stokes explains the problems caused by the aging infrastructure within the hospital. Newsday Associate Editor Joye Brown reports.
