Apple's stock buyback not a lasting tonic, says analyst

Apple's stock buyback not a lasting tonic, says analyst
Apple may have pleased investors with its recent stock buyback, but analyst Mark Moskowitz doesn't see the news as a big cause for celebration.Speaking with The Wall Street Journal this week, Apple CEO Tim Cook revealed that the company had taken advantage of the recent price drop to repurchase $14 billion of its own shares. Activist investor Carl Icahn and others have been pressing Apple to move more aggressively to buy back stock. However, the buyback doesn't do much to address other problems facing the company, according to JP Morgan's MoskowitzThe analyst said he would rather see Apple spend more of that money to invest in new technologies and services, especially given the increasingly saturated smartphone market and the growing threat to the company from the competition."We do not think this buyback activity overcomes the slowdown in the all-important iPhone business," Moskowitz said in an investors note released Friday. "The last two iPhone launches have not resulted in multi-quarter sales growth spurts as previously seen. We think this lack of follow-through indicates end users are slowing their refresh rates, and recent technology advancements have not been enough to change that."Moskowitz also said he thinks Apple should spread its wealth to bump up the dividend and invest in more acquisitions. In the interview with the Journal, Cook said Apple is open to buying the right company as long as such a deal would be in its best long-term interests.The future isn't all gloomy, though, according to Moskowitz."We think Apple still has 2014 catalysts that could restore meaningful, above-peer revenue growth to the model," the analyst said. "The China Mobile launch stands to set the stage for a larger-sized iPhone rollout later this year, which could boost unit sales. Another silver lining is that we think Apple's crossover to 64-bit processors, ahead of the competition, could usher in new features, potentially jumpstarting growth in the next 12 to 18 months."

CNET Mobile Phones iPhone 6, 6 Plus available unlocked and SIM free iPhone 6, 6 Plus available unlocked and SIM free

iPhone 6 and 6 Plus buyers in the US can now buy an unlocked and SIM-free model to use on any carrier here or abroad. As listed on Apple's iPhone 6 page, the SIM-free version sells for the full retail price, which means the 4.7-inch, 16GB iPhone 6 costs $649, while the larger 5.5-inch, 16GB iPhone 6 Plus runs $749. Opting for the 64GB version costs an extra $100, while the 128GB edition adds $200 to the base price. Why go unlocked and SIM-free? The option is geared for people who don't want to be stuck with the standard, two-year contract with a specific carrier. This means you can activate the phone on any carrier in the US, including major carriers AT&T, T-Mobile, Verizon or Sprint, according to an Apple representative. You can also use it with a local carrier if you travel outside the US. To activate the phone, you simply need to get a SIM card from the carrier. Otherwise, the unlocked and SIM-free phones have the exact same features and functions as the subsidized versions that are tied to a specific carrier. Apple has already been selling unlocked versions of the iPhone 6 and 6 Plus for T-Mobile subscribers. That model comes with a T-Mobile SIM card installed, according to Apple, and supports only GSM carriers, such as T-Mobile and AT&T. The unlocked, SIM-free versions of the iPhone 6 and 6 Plus ship in three to five business days.