1 week agoMy take: Cramer, pulling his punches, calls her note “curious.”
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on The New York Times turns its nose up at Apple’s special events 'Pogue was the high point for the NYT’s tech page.'
on The New York Times turns its nose up at Apple’s special events 'Shira has a sour style. I don’t know her, maybe it’s her personality. 🙂'
on The New York Times turns its nose up at Apple’s special events 'In defense of the NYT: Shira Ovide is not the NYT – she is a tech columnist for the paper…'
on The New York Times turns its nose up at Apple’s special events 'Up voted all four preceding posts. Ovide writes well, but after that he/she is a click bait whore taking the…'
on The New York Times turns its nose up at Apple’s special events 'Let us not forget the fiction of suicides at Foxconn that won a dubious Pulitzer. Very poor journalism here and…'
on The New York Times turns its nose up at Apple’s special events 'Exactly. What a mad-lib-styled fill-in-the-blanks bit of a time waster. Not sure how that is attractive to anyone unless they’re…'
on The New York Times turns its nose up at Apple’s special events '“The NYT is a stale product that has long outlived its usefulness as journalism. Like so many on-line websites, its…' on The New York Times turns its nose up at Apple’s special events 'More like the NYT Tech review team is less and less relevant in this age of direct to consumer messaging…'
on The New York Times turns its nose up at Apple’s special events 'Why do NYT and other “news” publications hire narcissistic writers and talking heads to posture for “hits” to make money.…' on It was Aussies, not Israelis, who cracked the San Bernardino iPhone 'I believe another article said it cost the FBI $900,000.00 and yielded no useful information.'
And rightly so. Follow the bouncing EPS/RPS ball, if you really want to know what’s up.
BTW, volume as of now is very low. Apple is in its blackout period and not buying, unless via ASR’s. I expect the stock to get “played” until they’re back in, and low volumes give big players a real opportunity. Just sayin’….
The 64K question in my mind is – will Mr. Market “get” that the downward pressure on the P/E and P/R ratios is actually a good thing, or will they react as in years past and see it as a bad thing? Or a bit of both?
Either way, long term investors win. If Mr. Market sinks the price, Apple buys back more shares per buck. Or – the price goes to “fair value”, which is a LOT higher than it is right now.
A cursory look yielded this article:
bloomberg dot com/news/articles/2015-03-23/buyback-blackout-leaves-u-s-stocks-on-their-own-before-earnings
Also, why would Apple even use ASR’s if they didn’t follow blackout procedure? Finally, Apple is notoriously conservative when it comes to even a hint of impropriety. It would not be true to form to set theselves up for accusations of insider trading.
And it’s news to me that Jeff F. “put this issue to rest.” Just exactly how did he do that? I’d need proof positive before I’d buy into the idea that Apple is foolish enough to be ignoring the blackout convention.
PED headline:
“From a backgrounder CNBC’S Bob Pisani posted last year”:
Earnings season is upon us, and once again there are dire warnings that stocks will be weak because companies are entering a “blackout period” where they will not be able to buy back their stock.
As with many old saws on Wall Street, there is a little bit of truth, and some outright untruth, to this idea.
Here’s the truth: There is no federally mandated blackout period. And even when companies have themselves adopted blackout periods [to protect itself against charges of insider trading], they can get around them.
[There is no mandated period, but Raymond James has noted that it is typically two weeks prior to the end of the quarter through 48 hours after earnings are released]
Under a separate SEC rule, companies can do a share repurchase program even during a blackout period. This rule, Rule 10b5-1, permits trading during the blackout period providing the companies have set up a plan to buy back stock on a regular, defined basis. The price (minimum and maximum) and amount of shares that are being bought must be specified. If they do this, they are afforded a “safe harbor” against any insider trading accusations.
In other words, a company — and its executives — can buy back shares during a blackout period, providing they are doing so according to a predefined plan.
Thanks to friend-of-the-blog Dan Scropos for the link.
Yes, it’s “voluntary”. Yes, companies can use ASR’s to get around them. But nowhere does it say Apple isn’t following the blackout convention. And yes, Apple uses ASR’s at times, but nowhere close to the level it uses direct buybacks. I’ve gone to the trouble of checking. Also, ASR’s are more expensive than direct buybacks, and are much more of a gamble.
And why would the SEC even have a Rule 10b5-1 that “permits trading during the blackout period” IF THERE WERE NO BLACKOUT PERIOD?!!
As far as how long Apple’s blackout period is for, it depends on each company. I’ve spent years watching Apple, and I’m convinced it’s about a month long for them. If someone knows it’s less, please provide proof. Until then, I follow my instincts and assume the worst case scenario. It also explains a lot about Apple’s “selloff patterns”.
I really don’t understand the denialism of folks here to what is obvious to me. This whole pattern of market volume drops during blackouts is demonstrative of a very large purchaser of shares moving to the sidelines.
Did you folks even read the article I linked?
its also high margin hardware and silicon.
apple is an exception for their high margin hardware.
they do not own inflexible manufacturing plants which will generate big losses if sales goes south.
the efficiency and economics of the apple supply chain is not valuated by the street.
apple will grow in iphone revenue
more numbers combined with higher prices
double wammer.
future of silicon and computation is looking bright
and Apple is one of the main engines.
All semiconductor multiples are sky high.
ASML is 64x. used to be 6-12.
5G will change everything with apple as a big winner.
“the efficiency and economics of the apple supply chain is not valuated by the street.”
This.