In a program on The Street, Jenn Van Grove reported that Carl Icahn’s latest letter might be the reason behind the latest tablet frenzy from Apple Inc. (NASDAQ:AAPL). Notorious investor Carl Icahn is one of the biggest shareholders of Apple Inc. (NASDAQ:AAPL). Apple Inc. (NASDAQ:AAPL) released iPad Mini 3 and iPad Air 2 on its 16 October event. Both iPads have some new features, revamped size and hardware.
Grove said that Carl Icahn is a strong believer in Apple iPads despite of the fact that the tablet sales are declining for Apple Inc. (NASDAQ:AAPL). Since last two quarters, Apple Inc. (NASDAQ:AAPL) faced a tumble of no less than 44% in sales of tablets. Carl Icahn has a habit of doing things with a lot of media limelight. A few days before the new iPad launch, he wrote a letter to Tim Cook and touted that the company is not valued where it should be in the market. Apple Inc. (NASDAQ:AAPL) must be, Icahn thinks, trading at twice the price of the current rate in the market. Icahn also asked Cook to buy more stocks in order to increase Apple’s valuation and earnings per share.
Icahn thinks that Apple Inc. (NASDAQ:AAPL) is sitting on a hefty cash of $150 billion and Cook must liquefy the market with some cash in order to give shares a surge. He is not dissatisfied with the performance of Apple Inc. (NASDAQ:AAPL)’s CEO Tim Cook. Icahn labeled Cook as the ideal CEO. The activist investor might be happy on the release of new iPads. New iPads don’t have anything out of the stream. Same expected specs are rolled out and experts think that if the new iPads fail to give a surge to tablet sales for Apple Inc. (NASDAQ:AAPL), there will soon be an end of tablet line for the company.
Apple Inc. (NASDAQ:AAPL) investors also include Philippe Laffont’s Coatue Management which reported about 10.1 million shares in the company.
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