Corporate raider Carl Icahn on Tuesday said he has taken a “large position” in Apple Inc, calling the US tech giant “extremely undervalued.”
Icahn, who is in the midst of a fierce battle over computer maker Dell Inc and has a history of taking stakes in firms to seek shakeups, announced his move on Twitter.
“We currently have a large position in APPLE,” he tweeted. “We believe the company to be extremely undervalued. Spoke to [Apple chief executive] Tim Cook today. More to come.”
In a second tweet moments later, Icahn said he would press Apple to increase its stock buyback, in which the company purchases its own shares in a bid to boost its value.
“Had a nice conversation with Tim Cook today. Discussed my opinion that a larger buyback should be done now. We plan to speak again shortly,” Icahn tweeted.
Apple shares, which had been flat most of the day, jumped on the news and closed up 4.75 percent at US$489.57.
Asked about the Icahn action, Apple spokesman Steve Dowling said in a statement: “We appreciate the interest and investment of all our shareholders. Tim had a very positive conversation with Mr Icahn today.”
Shares in Apple last year surged to a record above US$700, but have been in a deep slump over concerns the maker of the iPhone and iPad has been losing its edge in innovation.
Apple remains the most valuable publicly traded company with a market capitalization of more than US$440 billion despite its steep decline in recent months.
Earlier this year, Apple yielded to pressure from the hedge fund Greenlight Capital, agreeing to return about US$100 billion to shareholders over the next two years, including US$60 billion in share repurchases.
Apple shares posted gains on Monday after a report saying the California tech giant was set to announce its next iPhone at a Sept. 10 event.
The Dow Jones news Web site AllThingsD on Sunday reported that Apple scheduled an event next month where it will announce its newest iPhone in an effort to regain ground lost to Samsung and other smartphone makers, most of which use the Google Android operating system.
Speculation has centered around whether Apple will shift its strategy to include a lower-cost handset to appeal to more consumers, especially in emerging markets.
A recent IDC survey showed Apple’s share of the global smartphone market slipped to 13.2 percent in the second quarter, from 16.6 percent a year ago, while Android’s share rose to 79.3 percent.
Icahn has been embroiled in a battle over Dell, seeking to block a private equity buyout led by founder Michael Dell, which Icahn says undervalues the company.
Stephen Garrett, a 27-year-old graduate student, always thought he would study in China, but first the country’s restrictive COVID-19 policies made it nearly impossible and now he has other concerns. The cost is one deterrent, but Garrett is more worried about restrictions on academic freedom and the personal risk of being stranded in China. He is not alone. Only about 700 American students are studying at Chinese universities, down from a peak of nearly 25,000 a decade ago, while there are nearly 300,000 Chinese students at US schools. Some young Americans are discouraged from investing their time in China by what they see
MAJOR DROP: CEO Tim Cook, who is visiting Hanoi, pledged the firm was committed to Vietnam after its smartphone shipments declined 9.6% annually in the first quarter Apple Inc yesterday said it would increase spending on suppliers in Vietnam, a key production hub, as CEO Tim Cook arrived in the country for a two-day visit. The iPhone maker announced the news in a statement on its Web site, but gave no details of how much it would spend or where the money would go. Cook is expected to meet programmers, content creators and students during his visit, online newspaper VnExpress reported. The visit comes as US President Joe Biden’s administration seeks to ramp up Vietnam’s role in the global tech supply chain to reduce the US’ dependence on China. Images on
New apartments in Taiwan’s major cities are getting smaller, while old apartments are increasingly occupied by older people, many of whom live alone, government data showed. The phenomenon has to do with sharpening unaffordable property prices and an aging population, property brokers said. Apartments with one bedroom that are two years old or older have gained a noticeable presence in the nation’s six special municipalities as well as Hsinchu county and city in the past five years, Evertrust Rehouse Co (永慶房產集團) found, citing data from the government’s real-price transaction platform. In Taipei, apartments with one bedroom accounted for 19 percent of deals last
US CONSCULTANT: The US Department of Commerce’s Ursula Burns is a rarely seen US government consultant to be put forward to sit on the board, nominated as an independent director Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), the world’s largest contract chipmaker, yesterday nominated 10 candidates for its new board of directors, including Ursula Burns from the US Department of Commerce. It is rare that TSMC has nominated a US government consultant to sit on its board. Burns was nominated as one of seven independent directors. She is vice chair of the department’s Advisory Council on Supply Chain Competitiveness. Burns is to stand for election at TSMC’s annual shareholders’ meeting on June 4 along with the rest of the candidates. TSMC chairman Mark Liu (劉德音) was not on the list after in December last