Cramer: Apple Should Let Einhorn Talk
NEW YORK (TheStreet) -- Debra Borchardt: With friends like these, who needs enemies? Jim, David Einhorn, Greenlight, is suing Apple (AAPL) . He loved Apple. He was a huge Apple supporter. Now he's saying, you know what . . . you got too much cash.
Jim Cramer: Right. Well, I find that this is a discussion that occurs when a stock is going down, not when it's going up. Obviously the stock I think is a little depressed because of the huge cash position with no clear demonstration that it can be put to work to help the shareholders although we don't know, they put in the dividend. You could always say maybe they'll raise it. I think that he's a very honest good guy. For him to come forward and say look, here's a solution or here is an option and then it suddenly gets on the proxy as being something that they deliberately want to block is very in your face and spiteful.
We don't know what's really going on. We know that Einhorn has been a responsible investor. You always have the option of selling the stock. Steve Jobs had said over and over again that as long as the products are great everything takes care of itself. This is an embarrassment of riches that they have all this money. They haven't made acquisitions that I thought could help them, but you could argue pro and con on all these.
So, this is a very complicated issue, but it does cut to how shareholder friendly Apple really is. I think that in Apple's defense, it's made you a fortune and Apple didn't take the stock to $700.
Debra Borchardt: Yes they are sitting on a lot of cash. People do think that they should put it to use. Is that such a bad thing for a company to be conservative and hoard cash? Maybe they're going to have some big huge project coming up that they need the money for.
Jim Cramer: Well, that could be. One of the things that Einhorn says is that they have a depression mentality. Who knows what could go wrong? That's interesting. I have a depression mentality. I think about this same thing. I have maybe a more conservative nature.
So, I guess to me this is an intellectual exercise first of all. He's not going to have any affect. This is not going to happen.
Debra Borchardt: There was some criticism that he was doing it for publicity, that he's a publicity hound.