Around $38 million in Apple executives’ stock has been declared for-sale so far this month.
Apple’s chief financial officer, Fred Anderson, filed to sell stock worth over $10 million in recent weeks, according to documents filed with the US Securities and Exchange Commission (SEC), Reuters reports. Since April 30, there have been 15 such filings by Apple executives.
The share-option sell-off comes as UBS Warburg analyst Don Young announced raise estimates for Apple in its current quarter, and for the year. Young cited lower production-costs as a reason to raise his earnings-per-share outlook to 56 cents per share, from 54 cents.
Premium platform According to Reuters, Young said that “Apple’s good fortune of having strong iMac demand and a large backlog backfired on the company when component costs rose and created pressure on gross margins.”
“With component costs and particularly DRAM rolling over, Apple will see a gross margin benefit,” he surmised. “We no longer view Apple as being in a battle for PC market share – instead, we see the platform becoming a premium PC capturing, selective PC demand. We reiterate our strong-buy rating.”
SEC filings reveal that Anderson has registered to sell 433,332 shares (since April 24, at a value of approximately $10.7 million); executive vice president of worldwide sales Timothy Cook is preparing to sell 700,000 shares worth $17.3 million; and senior vice-president and general counsel Nancy Heinen hopes to sell 200,000 shares, worth $4.8 million. Finally, Sina Tamaddon, senior vice president, applications hopes to sell 250,000 shares, worth $6.1 million.
Figures quoted are approximate, based on published information and Apple’s current stock-price. No figure for the cost of selling stock has been assessed. The number of stocks up for sale has been adjusted since Reuters published its story in the light of new information.
Apple’s shares fell 27 cents yesterday, closing at $24.74 as US investors became jittery reacting to warnings of Al-Quaeda attacks against US interests.