Analyst downgrades Apple for being immoral
Ronnie Moas says he can't sleep at night when he thinks about the 'obscene' behavior of the company. He's also fed up with Amazon and Philip Morris.
Was it a "Jerry Maguire" moment of moral clarity or just a grumpy blowup at some easy corporate targets?
Standpoint Research founder and research director Ronnie Moas issued a note Monday cutting his rating on Apple (AAPL) to "sell" and advising investors to also sell Amazon.com (AMZN) and Philip Morris International Inc. (PM) for purely moral and ethical reasons.
"For Apple Computers to pay their (overseas) workers $2 an hour while they have $150 billion in the bank is nothing short of obscene. I've heard all of the arguments in their defense, and they make no sense to me," Moas wrote in a research note out Monday.
Moas, a former strategist at Herzog Heine Geduld and an Israeli army veteran, acknowledged that the note would be controversial and could threaten his business but said: "I am so upset that I can no longer remain silent."
Moas criticized Amazon for pressuring its employees while founder Jeff Bezos spends time "on his yacht in the Galapagos Islands" and enjoys a net worth of $27 billion. Philip Morris, meanwhile, "has the black lungs and blood of 500 million people on their hands," he said.
Moas already had a "sell" rating on Amazon and had no previous rating on Philip Morris shares, according to a CNBC report on the note.
The text included a good number of emphatic comments -- "There are dozens (if not hundreds) of companies I would like to put on my Blacklist but I will start and end it with these three," for example.
Moas also delved into his personal life in explaining why he decided to speak out against the firms: "I took a Lunesta sleeping pill a few hours ago as I have been nearly every night for the last five years. . . . It helps keep me looking young and more productive in the afternoon and evening. . . . On this night, nothing could have put me to sleep."
He also said watching the recently released Martin Scorsese film "The Wolf of Wall Street" helped reinforce his views on "the obscene excess and relative comfort enjoyed by the top 1%-2% . . . many of whom are greedy and selfish."
Moas clearly feels strongly about what he sees as the shortcomings of corporate culture, not merely issuing the research note but also appearing Monday on CNBC and, according to the note, booking an appearance on Bloomberg Television for next week.
Do you agree with Moas?
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Ah, people: they're not getting "2 dollars and hour",
They're getting the equivalent of 2 dollars an hour. These people live on site, eat on site, sleep on site.
It's the equivalent to the "company store and housing" we abandoned in the past.
Apple has been Immoral for a long time! Which is why I shall never Purchase one of the products as their philosophy is one of MONEY MONEY MONEY for a handful and Screw the Rest!
And their products cost many their job! Sure they may be convenient but still took away many jobs.
you thought the pay rate was the same for overseas workers?
No, not completely. Business has done this for a looooong time. Why not speak up sooner if it bothers you that much?
Then taking Lunesta is one of the worst things for a clear mind. Did you know that you can have hallucinations taking it?
If this is immoral, then go all the way. What about Big Pharma with all their false drug claims.
I could go on and on. I just want to say not to target a few only.
i can see big tobacco in an ethics sell-stance, but where does one draw the line?
capitalism is brutal by nature, so we always need government oversight and regulation to keep it reasonably moral.
i think it's fair to accuse many large corporations of exploiting workers, both here and off-shore.
wal-mart encouraged in-store food drives so their own store associates (aka hourly workers) might have a reasonably decent thanksgiving dinner this year.
i have a friend who worked 32 years straight for a major grocery chain and was put out of work due to company re-structuring 2 weeks before christmas this year. what kind of behavior is that?
companies no longer worry about offering their people pensions.
with the ppa in effect, the next thing to go is workplace provided health insurance, a long-standing tradition of american employment. now the worker can buy insurance on the exchange, so they don't need an employer's group plan to gain coverage.
i can see nothing about the american economy, as it effects an average worker, that's gotten any better over the past 35 years.
it used to be we'd hear about a company president worth millions and gasp in awe. now we have company presidents worth, as you mentioned, 27 billion dollars. the list goes on and on; multi billionaires leading the most extravagant lifestyle while legions of their people are stuck at the bottom of the employment ladder.
and i'd argue it's not about more higher education, it's about less and less opportunity, less and less possibility for company advancement ,and ever-declining wages.
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