updated 04:52 pm EDT, Tue August 13, 2013
Calls company 'extremely undervalued'
Billionaire investor Carl Icahn spoke with Apple CEO Tim Cook today, urging him to increase the company's share buybacks, reports note. The news first emerged from Icahn himself via Twitter; there he revealed not only the conversation, but that his firm has a "large position" in Apple, whose stock he feels is "extremely undervalued." Apple later confirmed the talk in a statement to the Wall Street Journal, but without mentioning Icahn's buyback agenda. Icahn says he plans to speak with Cook again "shortly."
Apple's current dividend and buyback plans are already expected to cost the company $100 billion through 2015. Icahn, though, is known for advocating moves that favor shareholders but not necessarily the interests of the company's owners. He has for example opposed Dell founder Michael Dell's attempts to take his company private again.
Icahn's comments about Apple have already triggered a surge in the company's stock price. Before his Twitter posts, Apple was trading at roughly $475. Shares closed at $489.57 this afternoon, and have surpassed $490 after-hours as of this writing.