Apple Inc. (AAPL) may announce it will return cash to shareholders before the second half of this year as the company’s shares decline, said Lawrence Haverty, a portfolio manager at Gamco Investors Inc. (GBL)
“My guess is it will be before June 30,” Haverty said on Bloomberg Television’s “Surveillance.” “The pressure is just increasing because last week we had 700 stocks -- an incredibly broad market -- in the new high list in the New York Stock Exchange and here is Apple crashing into the new low list. Something is going to happen. It just has to.”
Apple shares have slumped 13 percent this year, sliding to their lowest price in more than 13 months on March 4. The Standard & Poor’s 500 Index has rallied 9.2 percent in 2013.
Separately, a bidding war for Dell Inc. (DELL) shows the availability of money to finance takeovers, Haverty said.
Dell said today it received bids from Blackstone Group LP and Carl Icahn that may be considered superior to founder Michael Dell’s buyout offer for the personal-computer maker.
“What you have is a number of very serious people looking at this thing, and they are trying to figure out whether or not it can be financed,” Haverty said. “The fact that this much money is available to be financed indicates that there is mountains of money behind this on deals that are probably much less risky.”
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