From: David Ensteness (denstene_at_mac.com)
Date: Tue Oct 18 2005 - 06:11:49 PDT
You are telling me that Jobs wants to give up success? After having
turned down a position as the head of Disney ... What is he gonna do
with his time? Mail sail boats?
Apple has $8.26 dollars in cash plus its assets ... Honestly I don't
think Dell has the leverage to make a hostile purchase. Apple is in
not state to desire a friendly merger.
Besides their cash holdings, Mac sales just rose 38% in the last
year, iPod sales something like 280%, Apple had $14 billion in
revenue with something like a $1.3 billion profit. This quarter ended
the most fiscally successful quarter and year in the history of Apple
Computer, Inc. Dell's stock is sitting at around $33/share (just
above its 52-week low of $31.54) and Apple's is at $53/share (just
below its 52-week high of $53.35) with most analysts expecting Apple
to hit a target of around $65 in the foreseeable future.
In comparison Dell only has $9.05 billion in cash to support a buyout
with. Also, Apple has $9.955/share cash on hand while Dell can only
cover $3.773/share with their current savings meaning that even with
Apple's dramatically higher stock, Apple has a far better ability to
support their stock's price with cash on hand by holding nearly 20%
in cash while Dell holds only about 10%.
And if ya doubt my suggestion that Apple would have no desire for a
friendly merger ... they do *control* the digital music business
right now and with their computer sales growing nearly 40% ... I
guess I don't see the motivation to sell. Lastly, the decision to
sell Apple doesn't belong to Jobs ...
Just a couple facts to throw in with the silly rumor.
David
On Oct 18, 2005, at 7:30 AM, John Hay wrote:
> Yes, again, I would side with Ian's prophetic judgement.
>
> Ostensibly, the "reason" for a sellout is that Steve want to jump ship
> at the height of Apple's rosy financial statements, as did Jerry
> Seinfeld** at the end of his series, so that he can pursue other
> divergent personal projects with whatever time he has left on the
> planet. Who knows. Just idle speculation as usual no doubt. I can not
> corroborate this information. Just happened to stumble into it. I
> really don't know. John
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