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Apple in $14bn share buyback after price dip
by Danielle Levy on Feb 07, 2014 at 07:50
Apple has bought a further $14 billion worth of shares back, which means it has spent over half of the $100 billion it pledged to return to shareholders.
The move comes as the technology stock fends off the criticisms of activist investor Carl Icahn.
The technology giant had pledged to spend $100 billion by the end of next year, as it prepares to face activist investor Carl Icahn's criticisms of its capital allocation policy later this month, the Financial Times reports. Apple has bought back $14bn of its own shares over the past two weeks.
The move comes after Apple reported that iPhone sales had fallen short of expectations in late January, sparking an 8% share price fall in the space of one day.
The recent buybacks form part of its existing capital allocation plan, which rose by $55 billion to $100 billion in April last year. The FT said CEO Tim Cook has stated that he would reconsider those plans in March or April.
The tech giant has paid out around $8 billion in dividends and buybacks in each of the past two quarters.
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