market folly

Carl Icahn of Icahn Enterprises announced yesterday that he has taken a stake in Apple (AAPL).  Additionally, he noted that he has talked with CEO Tim Cook about expanding the company's buyback now and that they plan to speak again in the future.  Icahn says AAPL shares are extremely undervalued. 

What's interesting about all this is that Icahn actually announced this via Twitter, becoming the first major investor to unveil a new stake via that medium.  If you don't already, you can follow @Carl_C_Icahn here.  And while you're at it, make sure to follow @marketfolly too.

After revealing the position, he talked to various media outlets where his numbers and expectations for the company varied a bit.  He told the Dow Jones that he sees AAPL trading around $625 with a boosted buyback.  Later, he told Reuters he sees a $700 price target with 10% earnings growth.

Icahn's not alone in his desire for a sizable buyback from Apple.  Greenlight Capital's David Einhorn also pushed the company to return cash to shareholders.  Apple announced a plan, but it's clear some investors still want more given AAPL's large cash pile.