Filed under: News
What would happen to the Camelot that is Apple, Inc. if Steve Jobs is not exonerated for the backdating of stock options? This is a question that a lot people who love Apple or buy their stock are asking themselves or perhaps should be asking themselves.
By now everyone has heard about the stock options investigation that has been on-going at Apple for the past year or so. At first it seemed like a dignified, self-regulating investigation that Apple launched. It seemed as if they were doing the “right thing” without the SEC having to get involved. The stock market was not quick to judge and neither was Apple’s board. But that can only last for so long.
Apple’s golden boy is in the SEC’s crosshairs which does not bode well for Apple, iPhone or no. No one can doubt the impact of a federal investigation on Apple’s shareholders, especially if Job’s is the center of their investigation. Without Job’s the Apple brand would suffer serious setbacks from their recent surge in popularity. Let’s face it, Job’s is the redeemer of Apple and without him they would not make the front page of the news every quarter and be the icon they have become with so many followers. Apple and Jobs are synonymous and have a symbiotic relationship. How much they are intertwined will be revealed once the federal investigation gets underway.
Here’s my prediction: Jobs will be in the hot seat for a while, he may even found guilty by the SEC in the back dating stock options investigation (it’s not a scandal…yet), but instead of removing him from his duties at Apple they will be served a hefty fine, which they will pay, of which the stock market will duly take note and the shares will drop. My guess on the drop is 10 points at which time I will buy even more shares. This is one SEC investigation that I am watching closely. The outcome will not only impact the shareholder’s but the tech world as well. Here’s to a great new year and fast resolution to the investigation.