Earlier this week, Citi analysts predicted there’s currently about a 40% chance that the tech giant would be acquiring Netflix in the upcoming months. Their research comes directly after Trump’s new tax which reduces cut corporate taxes from American companies.
Business Insider reports:
“There is a 40% likelihood that Apple will acquire Netflix now that US President Trump’s corporate tax cut has been passed, according to Citi analysts Jim Suva and Asiya Merchant.The cut in corporate taxes, along with a one-time allowance for companies to repatriate cash stored overseas without a major tax hit, will give Apple a much larger cash warchest to buy new companies.
Apple has about $252 billion in cash, much of it in foreign jurisdictions, which previously it was unable to bring back to the US. Suva and Merchant ranked potential Apple M&A targets in a note to clients sent in December.”