Apple finally begins dividend, buybacks

It’s the question that has been dogging the world’s biggest publicly traded company since its last earnings report: What do you do with nearly $100 billion in cash?

Apple has finally answered that question, announcing its first dividend, at a hefty $2.65 per share. The company is also embarking on a $10 billion share buyback program.

The dividend will kick in on July1, the end of the company’s fourth quarter, while the buyback program will begin Sept 30.

The market has anticipated the dividend, assuming that R&D can only eat up so much of the $98 billion hoard. Apple’s stock has gained 37% since its last earnings report.

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.