Apple buyback?

Apple could present a plan in the next few months to buyback a large portion of their common stock outstanding according to apple insiders. 

Investors in AAPL are looking to leadership to make the same move that Microsoft (MSFT) made and plans to follow through with by August 17th of this year. 

Apple may follow in the wise path of Microsoft because of their cash rich balance sheet. With virtually no debt and large cash reserves, the company is in a good position to stimulate the stock value for the investors.

Last summer Apple's common stock was trading for around $200. Now, the once great has almost decreased in value by $100 at a trading price of $124.64 today. 

Not a largely consumer elastic with the change in consumer spending, Apple still has strong sales but weak valuation. I attribute this, in large part, to the future view of free cash flow in the future. As I have discussed before, the market's view of future sales has been bearish  for the last few quarters.

A buyback will decrease the market liquidity of Apple and, for a short time, stimulate stock price. What apple really needs to do is increase investor confidence and come out with another revolutionary product like the i-Phone!