Apple (AAPL) May Announce New Capital Reallocation Plan Soon

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The Market Expects Larger/Special Dividend from Apple (AAPL), Poll Shows

March 12, 2013 2:27 PM EDT

Apple, Inc. (Nasdaq: AAPL) has a ton of cash, about $137 billion or more in its war chest. Many headlines and market chatter have surrounded what the firm should do with that money.

On the front page of Yahoo! Finance is a... More

Apple (AAPL) in 'very, very active' discussions on cash, Cook said

February 27, 2013 12:58 PM EST

Apple, Inc. (NASDAQ:... More

Dividend, Buyback Will Do Little to Change Apple (AAPL) Trajectory - Analyst

February 27, 2013 12:02 PM EST

Apple, Inc. (Nasdaq: AAPL) holders are hoping that a preferred dividend or other capital allocation strategy will be... More

David Einhorn's Apple (AAPL) 'iPrefs' Presentation

February 21, 2013 3:59 PM EST

(Updated - February 21, 2013 5:54 PM EST)

David Einhorn of Greenlight Capital took his case on Apple (NASDAQ: AAPL) directly to shareholders Thursday, suggesting the iPhone maker could unlock billions of dollars of shareholder value by issuing a new perpetual preferred stock he coined 'iPrefs.'

Einhorn first discussed this novel ideal earlier in the month, which triggered a direct response from Apple saying they would review the idea. Since that time, critics have come out against Einhorn's plan, calling it 'complicated.' Many say Apple should just focus on share repurchases or dividends. Einhorn addressed the critics and called his idea "simple and innovative."

Addressing the Silicon Valley lore that there is no reward for distributing cash, Einhorn said while this may be the case for bloated tech stocks buying at the highs, Apple is a rare case because of its low valuation. Einhorn showed how shareholder friendly tech companies like IBM (NYSE:... More