Apple Investors demand transparency from Tim Cook – AAPL, GOOG, 005930 & IBM

Boston, MA 02/28/2013 (wallstreetpr) – Apple Inc (NASDAQ:AAPL)’s investors want clarity and they want it now. The company’s cash pile is growing and Tim Cook has been promising that he has very active plans about what he wants to do with it. Nevertheless, investors are asking for concrete and transparent proceedings with any investment or expansion plans that Apple Inc (NASDAQ:AAPL) says it has in the pipeline. $137.1 billion in investments and cash is what the company is carrying around at the moment and no additional insight was given by Cook in the annual shareholder meeting as a result of which the company shares took a dive.

Questions being asked

Apple Inc (NASDAQ:AAPL) has been facing a lot of competition from Samsung Electronics Co., Ltd (KRX:005930) and Google Inc(NASDAQ:GOOG) and slowing growth and reduced profits have been making investors and shareholders impatient and unwilling to listen to any promises that the company makes. Cook is being pushed into a corner with demands for stock buybacks, higher dividends or a new class of preferred shares as a compensation to investors who had gone through losses after Apple Inc (NASDAQ:AAPL)’s stock dived. Cook has been quoted to say that the company is focusing on long-term plans and that new product category launches are being considered. The new Apple Inc (NASDAQ:AAPL) headquarters at Cupertino should open by 2016.

Learn from others

The New York State Common Retirement Fund trustee Thomas DiNapoli said that Apple should pick up some lessons from International Business Machines Corp (NYSE:IBM) that has been routing over 100 percent of its free cash back to its investors year after year. Cook has showed more sensitivity to investor concerns after he took over the reins of the company in 2011 from Steve Jobs the co-founder and has brought in some changes. He launched a $10 billion worth stock buyback program last year and the company’s quarterly dividend was reinstated.

Shares of Apple Inc (NASDAQ:AAPL) went down by 0.98% to close at $444.57

Shares of Google Inc(NASDAQ:GOOG) went by 1.22% to close at $799.78

Shares of Samsung Electronics Co., Ltd (KRX:005930) went down by 1.57% to close at $1,551,000

International Business Machines Corp (NYSE:IBM) went up by 1.60% to close at $202.33

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Published by Pushpa Naresh

Pushpa Naresh has done MBA (Finance) and an avid market tracker. She is a technical analyst who closely tracks US markets along with other global markets like India. She has been expressing her views about markets and also advises various clients.

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