There is a loud sound that could make you lots of profit
Yes that is right there is a loud sound that could make you lots of money. That sound is actually the sound of money washing up on the shores of the USA. Of course I don't mean this in a literal sense but since the Trump tax laws have been signed into law the almost $3TRILLION sitting off shore in bank accounts of US firms that wouldn't bring it onshore again due to the insanely high corp tax in the USA is now highly likely to start making its way back to the USA.
One of the main ones is Apple which even after paying the tax bill for bringing the money back to the USA they would be clearing roughly $210billion. That's a lot of money to come onshore to support a lot of wealth creating strategies for Apple:
$30billion for R&D over the next 5 years including the already $12billion earmarked for R&D. Apple has said that it will support another 20,000 high paying jobs in the USA.
$5billion will go into Apples advanced manufacturing fund to help suppliers make components more cheaply and at a much better efficiency which could mean more Apple parts being made in the USA.
Apple also wants to build a second major corporate campus to house many of its future forays.
- $150 billion for dividends and share buybacks which are investor friendly
This all means that an investment in Apple could be a good idea.
Since 2012 Apple has spent $234 billion on dividends and share buybacks, it has bought back 1.4 billion shares already which is more than 20% of all shares outstanding. It's like giving the earnings per share a 20% boost.
The dividend payout has been increasing by 44% per year over the last 5 years and a similar kind of increase is expected in the future. This doesn't account for a massive one off dividend from all that money flooding back onshore that is highly likely.
My plan for all of this is to use the dips to buy up shares to build a position in Apple. It's a great way to diversify a bit away from the crypto space too.
DISCLAIMER: This is not intended as advice and is my personal opinion. No one should take this as investment advice.
