An Apple of Carl Icahn's Eye

 

Today famous activist investor billionaire Carl Icahn revealed on Twitter today (8/12/2013) that he's has taken a large position in Apple.  Carl Icahn also mentioned on Twitter that he believes Apple is extremely undervalued.  Apple stock soared 3% points higher after his Twitter post and the stock closed up 4.75% or $22.21.  I find it completely amazing the impact of Twitter and Carl Icahn himself has on the sentiment of Apple and the market.

I find it amazing how a simple post on Twitter has the ability to move the world's stock markets.  A simple tweet can cause billions of dollars in losses and even billions of dollars in gains.  The market is so quick to react on unsubstantiated news or Twitter posts.  Posts on Twitter regardless of the source are not vetted by a reputable organization.  Yet some will react to the news or post as if it were fact and trade accordingly.  Do you recall the Twitter post from the Associated Press (AP) stating the White House has been bombed and President Obama had been injured.  Recall how the market tanked based on the Twitter post.  Moment after the tweet AP stated it did not post the tweet and reports of the White House being bombed and President Obama being injured were false.  AP also stated that its Twitter account had been hacked.  Yet some professionals and average investors were selling the market.  Amazing!


I am not claiming Carl Icahn's Twitter account had been hacked.  CNBC reported the post did came from Carl Icahn's twitter account.  I believe Carl Icahn himself substantiated the Twitter post. CNBC is a reputable news organization so it is safe to say they verified this information with Carl Icahn himself.  To prove this is true there should be a filing on the SEC Edgar database  reporting that indeed Carl Icahn has taken a large position in Apple. 

I just want to bring this to your attention.  In the modern age, news that is being reported on sites on Twitter, Facebook and other social media websites should be vetted and not completely believed at first sight, especially news of extraordinary claims.  It is a highly competitive world we live in especially when it comes to investing I advise caution before reacting to Tweets or Facebook posts.  After all it is your money and you should protect ever cent. 


http://www.cnbc.com/id/100960409

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