It looks like handling a cash of $256 billion may not be an easy thing for the Apple CEO Tim Cook. While Apple shareholders are expecting to see that large sum of money put to good use, an analyst from Citibank predicts that Apple may likely buy the popular video streaming service Netflix.
The analyst who goes by the name as Jim Suva, suggests that there is a 40% chance that the Cupertino company might acquire the net streaming company. If not Netflix, Suva also predicts that Apple may try to get Disney with a 25% probability.
These predictions were made when a note was sent to clients, that was titled “Addressing the Problem of Too Much Cash”, and the after effects after acquiring a particular company on Apple’s shares. The other listed companies include Hulu, Activision Blizzard, Take-Two Interactive and Tesla. Suva adds that these companies will have a 10% chance of being acquired by Apple. Apple had already spent almost $300 billion buyback program. Suva suggests that Apple should spend a third of the money on a large acquisition and the rest of the money to expand its buyback program.
It’s interesting that Suva had suggested Tesla as a possible company to be acquired by Apple since the Cupertino company is already working on their own self-driving car ambitions. It wasn’t long ago when an alleged Apple Car was spotted on the streets of California. There have been certain leaked documents which reveal that Apple has plans to train experts for the Apple Car project.