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Posts Tagged ‘ Richest Company ’

Apple is one of the most profitable companies in the world. It generates so much profit that the latest reports indicate that its cash reserves have swollen to over US$250 billion, with the actual number of its cash reserves expected to be revealed later this week during its earnings call.

To offer some perspective, that’s more than the foreign currency reserves held by the U.K. and Canada combined. The next richest tech company is said to be Microsoft, which has US$126 billion in cash.

Another interesting tidbit is that Apple has doubled its cash hoard in just over 4.5 years. And in the last three months of 2016, it made US$3.6 million per hour.

But like many other big U.S. companies, most of this cash is parked overseas. However, President Trump’s proposal to offer a one-time tax holiday on corporate cash brought home has sparked fresh speculations that Apple could hand back more money to shareholders or make more acquisitions.

The report also says that Apple could, theoretically speaking, acquire both Tesla and Netflix and still have plenty left to spare. Apple is said to be exploring the automotive industry and has also started producing its own original TV content.

Lee Pinkowitz, a Georgetown University professor of finance, also said that Apple’s cash reserves are more than sufficient for its needs. He said, “If this a rainy-day fund, they’re saving for a millennial flood.”

If you were Apple and were allowed to bring all that cash home, what would you do with all money?