Dividends4Life: Apple Should Pay a Dividend

Apple Should Pay a Dividend

Posted by D4L | Friday, August 20, 2010 | | 0 comments »

Should Apple(AAPL) break with tradition and start paying a dividend? Apple stopped paying dividends in 1995, preferring to focus on growth at a time of stiff competition from the likes of Microsoft(MSFT). Fast forward 15 years, and now Apple sits astride a vast pile of cash.

"In our conversations with shareholders, one common source of frustration -- which is now bordering on exasperation -- has been Apple's burgeoning cash balance," explained analyst firm Bernstein Research in an open letter to Steve Jobs and the Apple board. "We implore you to consider returning cash to your shareholders, along with a longer-term road map for how you plan to use your cash balance and why."

Source: TheStreet.com

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