The $50 Billion Company Gene Munster Wishes Apple Would Buy
It's earnings season and Apple is faring very well, the company smashed Wall Street's revenue expectations. Investment research firm Zacks held consensus expectations of $51.2 billion in revenue, but the tech giant reported $52.6 billion, 12 percent higher than a year ago.
According to Gene Munster, a long-time Apple watcher and managing partner at Loup Ventures, this is the company's best quarter in years.
"December of 2014 was the last time that Apple grew every product in every geography," Munster told Cheddar on Friday.
And since that time, the company has amassed a pretty big cash stockpile. For the quarter, Apple CFO Luca Maestri said the company “generated strong operating cash flow of $15.7 billion and returned $11 billion to investors through [its] capital return program.”
At the end of the quarter, the tech giant had nearly $270 billion on its balance sheet. That's bigger than the entire market cap of Wal-Mart...and the GDP of Venezuela!
And Munster has some ideas for what the company can do with that money. If Apple wanted to make an acquisition, for example, he thinks the best move would be American automaker Tesla.
"Netflix is always out there," as a possible target, he said. "It would make a lot of sense because it would play into its service business. [But] the company that I wish it would buy is Tesla." He cautioned though, that he doesn't think it'll happen.
"Elon Musk doesn't want to sell, but as a backstop, as you see the Tesla shares slide here, I think Apple would love to buy them at some point."
Unlike Apple, Tesla posted a big miss in its latest quarter, recording its largest ever loss of $2.92 a share.
You'll just have to wait for interest rates (and prices) to go down. Plus, this deal's a steel, the big carmaker wedding is off, and bribery is back, baby!
It’s a chicken-and-egg problem: Restaurants are struggling with record-high U.S. egg prices, but their omelets, scrambles and huevos rancheros may be part of the problem. Breakfast is booming at U.S. eateries. First Watch, a restaurant chain that serves breakfast, brunch and lunch, nearly quadrupled its locations over the past decade to 570. Fast-food chains like Starbucks and Wendy's added more egg-filled breakfast items. In normal times, egg producers could meet the demand. But a bird flu outbreak that has forced them to slaughter their flocks is making supplies scarcer and pushing up prices. Some restaurants like Waffle House have added a surcharge to offset their costs.
William Falcon, CEO and Founder of Lightning AI, discusses the ongoing feud between Elon Musk and Sam Altman, and how everyday people can use AI in their lives.
U.S. tariffs on steel and aluminum “will not go unanswered,” European Union chief Ursula von der Leyen vowed on Tuesday, adding that they will trigger toug
The Trump administration has ordered the Consumer Financial Protection Bureau to stop nearly all its work, effectively shutting down the agency that was created to protect consumers after the 2008 financial crisis and subprime mortgage-lending scandal. Russell Vought is the newly installed director of the Office of Management and Budget. Vought directed the CFPB in a Saturday night email to stop work on proposed rules, to suspend the effective dates on any rules that were finalized but not yet effective, and to stop investigative work and not begin any new investigations. The agency has been a target of conservatives since President Barack Obama created it following the 2007-2008 financial crisis.
Jeff Benedict, author of 'The Dynasty,' weighs in on the Kansas City Chiefs being the next big dynasty, who he thinks will win Super Bowl LIX and more. Watch!
