Apple Inc. (AAPL), Google Inc (GOOG) & Samsung? Is This Really The Best Tech Trio?

Unlocking Apple’s shareholder value

Apple generated a much higher return on invested capital at 33.34% in the past twelve months. What makes me interested is its super strong balance sheet and its capital plan in the next two years. It announced that it would increase its quarterly dividend by 15% to $3.05 per share, creating a  potential dividend yield of 2.71% on the current trading price of $450 per share. Furthermore, it boosted its repurchase plan by $50 billion to $60 billion until 2015. Thus, the $60 billion will create an additional yield of more than 14.2%. Apple Inc. (NASDAQ:AAPL) has a much higher valuation than Samsung, at 6.6 times EV/EBITDA.

Google keeps innovating

A tech investor should keep Google Inc (NASDAQ:GOOG)’s shares in their portfolio, what with its global leading positions not only in the smartphone operating platform but also in the search market. Google is the global leader with a whopping 67.1% of the global search market share in March 2013. Furthermore, Google Inc (NASDAQ:GOOG) keeps its fast innovating wheel turning. It is developing Google Glass, a computer with a head-mounted display that users could wear on their eyes and interact with using their voices. Google has not paid any dividends, and is trading for around $846 per share, with a total market cap of $280.6 billion. Google Inc (NASDAQ:GOOG) has the highest valuation of the trio, at 13.3 times EV/EBITDA.

My Foolish take

In order to ride the increasing trend in the global smartphone market, I personally think that investors should keep Samsung, Apple and Google in their portfolios. Samsung seems to be the most preferable pick with its global smartphone leading position and the lowest valuation. In addition, investors could pick Google Inc (NASDAQ:GOOG) for its huge innovation capabilities and Apple Inc. (NASDAQ:AAPL) for its strong balance sheet and high profitability.

Anh HOANG has a position in Apple. The Motley Fool recommends Apple and Google. The Motley Fool owns shares of Apple and Google.