Apple News for Tues (NASDAQ:AAPL)
Shares of Apple took off today as the stock hit a new 52-week high. There was plenty of news to move share price. Let’s recap it for you.
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Siri Sued? - A man in New York filed a class-action suit against Apple , saying that the company has been “misleading and deceptive” about what Siri can do. The lawsuit claims that Apple’s advertisements for the voice assistant are “fiction.” According to the plaintiff, the commercials misled him to purchase the iPhone 4S to get Siri, but he has had trouble using the software. He claims that Apple falsely advertises the ease individuals have in using Siri in its TV commercials. – Barron’s
Apple’s HD iTV – There are rumors the company’s high-definition television will enter “full-scale” production in early summer, ahead of a scheduled fourth-quarter launch. A Jefferies analyst said he discovered early production evidence of the mythical iTV during a recent trip to Asia. - AllThingsD
Borrow Money to Pay a Dividend? - Bernstein Research analyst Toni Sacconaghi talked about Apple’s capital allocation strategy. With around $100 billion in cash on the books, CEO Tim Cook recently has acknowledged that the company has more in the bank than it needs for the normal course of business. He has said on several recent occasions that the Apple board is studying what to do with the money. Sacconaghi suggested a counter-intuitive idea, which is that Apple might want to consider bolstering its potential payout by tapping the credit markets for $50 billion or even $100 billion. Sacconaghi noted that only about a third of Apple’s cash – around $34 billion is held in the U.S. To pay any of that out to holders would require repatriation of the cash, which would then be subject to federal income taxes; that is not likely to happen barring a change in the tax code. He figures Apple would have to hand 30% of whatever it brought home right to the taxman. - Forbes
Preorders Abound - Apple's latest tablet, its third-generation iPad, officially goes on sale Friday. But preorders indicate that demand for the device, which retails starting at $499, is high. Apple has sold out of the inventory it set aside for preorders, but will have the new iPad in stock in its retail stores on Friday for Apple fanatics who typically line up for product launches. - IBD
AAPL shares closed the day at $567.69, up 2.84%. Volume finished the day at 21.68M shares traded. Apple Inc 's (AAPL) current market cap is $529.30B and its shares are 45.3% above its 52-week low of $310.50.