Is Apple's share buyback and dividend program enough?

Is Apple's share buyback and dividend program enough?
Apple will be giving away about $10 billion annually from its cash in dividends to shareholders over a timeframe that is three years for now. That amounts to $2.65 a share each quarter, making it one of the largest dividend programs already.

The company will also introduce a $10 billion annual share buyback, aiming to offset the stock price decrease that comes with a dividend, and combat share dilution that will come from employees exercising their stock options.

Over the course of those three years, the total amount Apple will be giving away to its investors will amount to $45 billion, which is almost half of the company's current cash reserves. The money will, of course, come from domestic cash, since if Apple uses its overseas accounts, the dividend and share buyback programs probably wouldn't be as generous, since the money would be immediately taxed.

We were curious whether you see this long-anticipated Apple move as enough for shareholders or do you care at all about it?

Is Apple's share buyback and dividend program enough?

Yep, it's one of the largest such programs and gives away almost half of Apple's current cash
15.15%
I don't own Apple shares, but my pension plan/municipality/police station is heavily invested, so it's all good
4.04%
I'd rather have them invest in R&D or innovative companies, shareholders have been made whole already
27.78%
OWS! (I don't care)
53.03%

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16 Comments

1. hepresearch unregistered

If you became an Apple shareholder even just a few years ago, then you have already made a freaking ton of money compared to most of the rest of the market. This isn't about making current shareholders whole... this is about cleaning out the common shareholding riff-raff with incentives to sell shares back to Apple now, decreasing accountability to common shareholders, and incentivizing elite investors and fund managers to invest more through increased rewards. I was one of the common shareholding riff-raff once upon a time... but I owned just a very little Motorola and a little more Nokia, so I lost all of it eventually. I got cleaned out of the market by a slightly different method.

12. squallz506

Posts: 1075; Member since: Oct 19, 2011

moto bought back my shares.

2. shamataa

Posts: 257; Member since: Dec 07, 2011

LOL! That's how much we don't give a crap about Apple period.

3. SuperAndroidEvo

Posts: 4888; Member since: Apr 15, 2011

Right now or wait until the new iPhone comes out might be a good time to get rid of the any Apple stock. Apple is buying them back so there is some huge money to be made. Their dividend programs are huge but it only happened after share holder backlash. I really don't pretend to know why Apple is doing this but if there was no backlash from their share holders Apple would not be doing this!

10. stealthd unregistered

"I really don't pretend to know why Apple is doing this" "it only happened after share holder backlash." Lolwut? Conflict much?

20. SuperAndroidEvo

Posts: 4888; Member since: Apr 15, 2011

lol My point was that I really don't know what Apple's true intentions are. If there was no share holder backlash Apple wouldn't have done this. I really think Apple wants all the money for themselves but are doing this to save face!

4. PAPINYC

Posts: 2315; Member since: Jul 30, 2011

This entire dividend program and share buy back is in line with Apple's hiStoriCal hardware upgrades: margiNal, very margiNal.

11. stealthd unregistered

Right, $45 billion is marginal.

18. Lucas777

Posts: 2137; Member since: Jan 06, 2011

when u create a company that affords to chip 45 billions into dividends please let us know

5. AbsentbebniM

Posts: 21; Member since: Feb 09, 2012

hi, i'm @PAPINYC. the only way i can get any attentiOn here iS to wriTe iN a made up form of Apple-centriC camelcase. please don't miNd me. i have nothiNg of value to add. i wriTe siMply to iMpress myself that i can capiTaliZe letters at just the riGht tiMe.

6. SuperAndroidEvo

Posts: 4888; Member since: Apr 15, 2011

There goes that "@" again. You say that abbreviations are teenage girl text-speak but you continue to do it. Man you really have no shame. You can call out someone for using "&" for and but you insist in using "@" for at? So which one is it AbsentbebniM? I really don't think you are in any shape to be criticizing anyone! ESPECIALLY PAPINYC! Unless your goal is to use teenage girl text-speak as you call it. lol Man you look like a fool!

8. PAPINYC

Posts: 2315; Member since: Jul 30, 2011

That's iOk, i4giVe her. She is probably just @that menstruAtiVe time of the month or could just be iRregulariTy.

9. hepresearch unregistered

Hey, whaddaya know? Two thumbs up on Absent's comment again... could it be that taco's two alter-ego profiles both did that again?

7. aztaxia12295

Posts: 272; Member since: Nov 22, 2009

Charity won't hurt? A billion will killya to help people who are dying? Screw you apple, just a bunch of heartless sobs.

17. lsutigers

Posts: 832; Member since: Mar 08, 2009

I read somewhere they were considering buying Sprint. Any truth to this?

19. Lucas777

Posts: 2137; Member since: Jan 06, 2011

i would say no.. apple doesnt need to buy sprint… i see no leverage they could gain from it.. in fact it might even hurt them as att and verizon leave…

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