Chart usGOLD   Chart usSILVER  
 
Food for thought
Men fight for freedom, then they begin to accumulate laws to take it away from themselves
Anonymous  
Search for :
LATEST NEWS  :
MINING STOCKS  :
Subscribe
Write Us
Add to Google
Search on Ebay :
PRECIOUS METALS (US $)
Gold 1281.52-14.08
Silver 20.35-0.24
Platinum 1457.04-17.71
Palladium 870.60-5.80
WORLD MARKETS
DOWJONES 16658-212
NASDAQ 4387-76
NIKKEI 15621-25
ASX 56238
CAC 40 4246-66
DAX 9407-186
HUI 234-5
XAU 99-2
CURRENCIES (€)
AUS $ 1.4394
CAN $ 1.4580
US $ 1.3388
GBP (£) 0.7927
Sw Fr 1.2165
YEN 137.6150
CURRENCIES ($)
AUS $ 1.0752
CAN $ 1.0889
Euro 0.7470
GBP (£) 0.5921
Sw Fr 0.9087
YEN 102.7960
RATIOS & INDEXES
Gold / Silver62.97
Gold / Oil13.01
Dowjones / Gold13.00
COMMODITIES
Copper 3.23-0.01
WTI Oil 98.49-1.78
Nat. Gas 3.870.09
Market Indices
Metal Prices
RSS
Precious Metals
Graph Generator
Statistics by Country
Statistics by Metals
Advertise on 24hGold
Projects on Google Earth
In the same category
Can People or Corporations Have Too Much Cash?
Published : February 15th, 2013
325 words - Reading time : 0 - 1 minutes
( 1 vote, 5/5 ) Print article
 
    Comments    
Tweet
Keywords :   Hedge |

Is it possible to have too much cash for your own good?

I believe the average 7th grader would easily recognize the inherent absurdity of such a question. However, the average economic writer does not understand what the average 7th grader does.

For example, please consider
Apple isn't only company with too much cash on CNN Money by author Paul La Monica.

Issuing preferred shares that pay a big dividend may not be the best use of Apple's more than $137 billion of cash and liquid investments. But hedge fund manager and Apple shareholder David Einhorn, who is pushing the maker of iEverything to reward investors with a new class of high-yielding stock, has a point.

Apple should be doing something more productive with its more than $137 billion in cash. Did I mention that Apple (AAPL) has more than $137 billion in cash?

And it's not alone. Several leaders in the tech and pharmaceutical industries are hoarding cash. ....

 

Mercy Me

Mercy! Corporations have too much cash! And they are hoarding it!

My Goodness. It's no wonder their stocks are doing poorly. Why everyone knows making money is bad business and spending money isn't.

Yes readers, this is the way economic writers on mainstream media think.

Although I am not opposed to higher dividend yields, I am also not opposed to the concept of waiting for better opportunities.

Recall that
Microsoft bid $44.6 billion for Yahoo in 2008. Microsoft's offer was over $30 a share. The current price, after a huge rally is $21.

But No! Heaven forbid corporations "hoard cash". La Monica wants corporations to do something with their cash now.

The fact is the S&P just had a rally over 100%. Stocks are likely to correct (and hard). Buying companies at lofty prices is a fool's game, and I commend Apple for not doing it.

Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com

"Wine Country" Economic Conference Hosted By Mish
Click on Image to Learn More


 

Tweet
Rate :Average note :5 (1 vote)View Top rated
Previous article by
Mish
All articles by
Mish
Next article by
Mish
Receive by mail the latest articles by this author  
Latest comment posted for this article
Be the first to comment
Add your comment
TOP ARTICLES
MOST READ
TOP RATED
MOST COMMENTED
Editor's picks
RSS feed24hGold Mobile
Gold Data CenterGold & Silver Converter
Gold coins on eBaySilver coins on eBay
Technical AnalysisFundamental Analysis

Mish

Mike Shedlock / Mish is a registered investment advisor representative for SitkaPacific Capital Management. He writes a global economics blog which has commentary 5-7 times a week. He also writes for the Daily Reckoning, Whiskey & Gunpowder, and has over 80 magazine and book cover credits. Visit http://www.sitkapacific.com
Mish ArchiveWebsiteSubscribe to his services
Most recent articles by Mish
7/31/2014
7/30/2014
7/30/2014
7/30/2014
7/30/2014
All Articles
Comment this article
You must be logged in to comment an article8000 characters max.
 
Sign in
User : Password : Login
Sign In Forgot password?
 
Receive 24hGold's Daily Market Briefing in your inbox. Go here to subscribe or unsubscribe.
Disclaimer