Carl Icahn Sends Letter to Apple (AAPL)

Just a day after debuting the new ipad Air and next installment of iPad Mini, Carl Icahn is looking to turn up the pressure on Apple (AAPL) some more. Earlier in the year it was announced that Icahn had acquired over $1 billion worth of AAPL stock and wanted the company to allocate $150 billion for a share repurchase. Apple’s current cash hoard is approximately $150 billion, a number that is up 10% in the past year despite spending heavily on share-repurchases under an already outlined buyback plan that Icahn wants increased. The full letter will be available tomorrow, I expect Carl Icahn will call for Apple to return even more money to shareholders than he was already seeking. The market didn’t react much following his tweet, as its been well documented that Icahn is seeking change from management, but historically having him involved is a good thing if you also own shares. His most recent huge score came yesterday when he cashed out half his Netflix (NFLX) position following a 457% gain, booking a profit of $850 million. Check Shareholders’ Square Table tomorrow for the full letter.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I have no business relationship with any company whose stock is mentioned in this article.