Apple’s Cash Reserves Are 30x What They Were 10 Years Ago


Apple is heading toward a $1 trillion market cap. Photo: Pierre Marcel/Flickr CC
Apple is heading toward a $1 trillion market cap. Photo: Pierre Marcel/Flickr CC

Apple is leading the way when it comes to U.S. companies stockpiling cash, according to a note from Moody’s Investors Service.

Holding $158.8 billion, Apple’s cash pile is close to 30x what it was in 2004, when Apple has cash reserves of “just” $5.46 billion. This means that Apple holds 9.7% of total corporate cash outside the financial sector.

It’s not just Apple, however. Tech companies in general tended to stockpile their money — with Apple followed by Microsoft, Google, and Verizon went it comes to cash-rich companies. Technology companies in general held $309 billion more in cash at the end of 2013 than they did in 2009 — representing 53% of the increase for all non-finance companies. Of this money, $450 billion is kept overseas.

U.S. companies as a whole held onto a massive $1.64 trillion at the end of 2013.

Source: Bloomberg

  • AAPL_@_$101_Is_A_Done_Deal_:)

    Yeah, Apple, the big spender. That reserve cash is weighing down Apple’s stock like an anchor. Apple must be saving it for a rainy day.

    • Jurassic

      I hear that Apple is planning on opening a giant room filled with cash, so that people like you who are disappointed that Apple isn’t spending it all, can go into the room and then flop around in the money like Scrooge McDuck. ;-))

      • AAPL_@_$101_Is_A_Done_Deal_:)

        Spending it all? Hardly. As far as I know, the money is coming in faster than Apple is spending it. I’m not asking for more stock buybacks or huge dividends. I’m merely asking for Apple to spend it on some software services acquisitions to boost revenue without worrying about hardware margins. Lesser companies can do it, so why not Apple? Every freaking quarter investors get pissed because Apple falls short on revenue or profit margins. This coming quarter will bring the same pain for shareholders while Apple’s reserve cash pile grows.

        I know it’s mostly overseas cash, so why not purchase some overseas investments. Apple is building some large data center overseas. Why stop at one? They might as well lay their own undersea cable while they’re at it. Apple needs to get potential investors excited over something. They’re bored hearing about iPhones.