Apple has billions more to buy back its own shares 

Apple shares have fared better than peers this year, falling 6.7% versus the 14% drop of the tech-heavy Nasdaq 100 index. 

For years, Apple has been at the forefront of multi-billion dollar stock repurchases among technology mega-caps. According to Citigroup analyst Jim Suva, it may be about to raise its game.

Mr Suva has now estimated that the iPhone-maker might announce a buyback of $80bn to $90bn, while also increasing its dividend by 5% to 10%. All eyes will be on its second-quarter results due on April 28.

With their coffers filling fast, companies including Google-owner Alphabet and Microsoft have been looking for ways to employ excess cash. 

Apple’s repurchases have totalled $274.5bn (€252bn), including $20.4bn in the December quarter alone. Yet the company still has cash of more than $200bn on the balance sheet, and with authorisation to purchase up to $315bn of stock, has scope to do a lot more. 

Apple shares have fared better than peers this year, falling 6.7% versus the 14% drop of the tech-heavy Nasdaq 100 index. 

That is despite reports of production difficulties that Suva says “could provide a near-term stock pullback which we would use as a buying opportunity”.

According to the Citi analyst, the company’s current market value does not reflect potential new product category launches such as augmented reality/virtual reality headsets and the Apple car. 

Apple shares rose as much as 2.5% in the latest session. 

Bloomberg