FYI: What is the U.S. getting for its corporate tax cut? A boost in investment in U.S. manufacturing is possible, but far from assured. More tangibly, especially for tech companies, tax cuts will boost dividends, buybacks, and mergers and acquisitions, all of which may boost stock prices.
Tech, more than other industries, has a hard time putting vast amounts of cash to work. That’s because it requires relatively little R&D to produce huge amounts of revenue. For example, Apple (ticker: AAPL), which may have the most to gain from tax cuts, with $252 billion in cash overseas, doesn’t have many places to invest that will demonstrably boost its financial results.
Regards,
Ted
http://www.cetusnews.com/business/Big-Techs-Struggle-to-Spend-Their-Tax-Cut-Windfalls.HylIYpIlSz.html
