That’s utter nonsense. Apple has $35B in cash. Netflix has a market cap of $45B. Usually when one healthy company buys another healthy company, there is a mark-up, so Netflix would go for MORE than $50B+.
I fail to see how they are going to buy Netflix in an all cash transaction.
Oh... maybe you think they will secure some debt for the remaining $15B+? I dare them. Their current ratio is only 1.09. That would push them into sub-one current ratio territory. With a global slowdown coming, they could default in no time.
Laugh if you will, but we saw power houses go down in the dot-com crash because they were over-leveraged. There is no way Apple “buys Netflix for all cash” without becoming over-leveraged.
Oh, and I get that they have liquid assets that are “cash-like equivalents,” but do you honestly think they haven’t taken a hit over the past few weeks as the markets have tumbled? Any move as you described would be incredibly imprudent.
I *dare* them to do a $50B cash-only transaction. I double-dog dare them.