Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Apple Inc. (AAPL) Is Geared to Ride Media Content Waves with iTunes Life Vest: Brian Blair

Apple Inc. (NASDAQ:AAPL) is the next target of Mr. Carl Icahn, the activist investors, as he seeks to maximise the value of his investment in the company. He is sending a letter to  Apple Inc. (NASDAQ:AAPL), the contents of which will be made public soon. Brian Blair of Rosenblatt Securities shared some of his views on CNBC about what Carl Icahn could suggest to Tim Cook, Apple Inc. (NASDAQ:AAPL)’s CEO that could be a game changer for the company.

Apple-Logo

According to Blair the most obvious of these value enhancing moves involves a spinoff of Apple Inc. (NASDAQ:AAPL)’s iTunes business. Content companies have lately been on the radar of tech companies, as they are seen as a means to attract new consumers and also keep the old ones loyal.

[..] Take Jimmy Ivy, take Dr. Dre, separate this iTunes unit and use your cash to really build out  a media empire, starting to maybe acquire content, you know, using the radio and the other, this beats streaming platform to create a separate but relevant business that can really help Apple Inc. (NASDAQ:AAPL)  grow […],” said Blair.

Another proposition that Blair thought could be on the cards is a spinoff related to Apple Inc. (NASDAQ:AAPL)’s mobile payment platform. Either way, Blair was sure a spinoff has to be there.

“[…] If it’s not that it could be something related to payments. He [Carl Icahn] obviously was spot on with eBay spinning off the PayPal side of the business, so has some great views about unlocking shareholder value, and increasing the value of the company’s assets […],” explained Blair.

There is another avenue that the letter could be venturing into as well but Blair didn’t see it as a real possibility. It is a possible merger. There are a few candidates lined up for Apple Inc. (NASDAQ:AAPL) for that purpose in the content business too, but it is hard to say which one has Carl Icahn set his eyes for.

Warren Buffett and BillionairesFree Report: Warren Buffett and 12 Billionaires Are Crazy About These 7 Stocks

Let Warren Buffett, David Einhorn, George Soros, and David Tepper WORK FOR YOU. If you want to beat the low cost index funds by an average of 6 percentage points per year look no further than Warren Buffett’s stock picks. That’s the margin Buffett’s stock picks outperformed the market since 2008. In this free report, Insider Monkey’s market beating research team identified 7 stocks Warren Buffett and 12 other billionaires are crazy about. CLICK HERE NOW for all the details.

Loading...