Facebook could someday pay an Apple-like dividend, says co-founder of social network forerunner

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Divya Narendra, co-founder of Harvard Connection, a forerunner to Facebook, says he thinks Facebook will also use its $52 billion cash on hand for additional acquisitions.

Shares of Facebook are up more than 50% in 2019, trading around $199 on Thursday, despite growing scrutiny of the company around antitrust and data privacy concerns. Its approach to political advertising has also drawn criticism in recent months.

For those reasons, some wonder whether Facebook's acquisition strategy will be as aggressive as it had been, when it purchased Instagram and WhatsApp., reportedly ditching at least one deal over antitrust fears, Narendra said he believes the company is not done in the acquisition space. "I do think that once in a while they'll come across a significant investment opportunity where they'll be able to deploy, not all of it, but a significant portion of that capital, especially after some of this regulatory scrutiny tapers down," he said.He added, however, that he does not believe Facebook will commit to a "giant special dividend" any time soon. A special dividend is a non-recurring payment that happens outside of the traditional payment schedule.

 

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And we care what this guy thinks because?

What the hell is an “Apple like dividend?” The dividend Apple pays is a dividend just like every other dividend paying companies dividend.

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