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May 6, 2025 6:13 AM - Parth Sanghvi
Image credit: Alireza Khoddam
Apple (NASDAQ:AAPL) returned to the bond market for the first time in two years, issuing $4.5 billion in investment-grade notes late Monday. The tech giant plans to use the proceeds for stock buybacks and debt repayment, with $8 billion in obligations maturing between May and November.
The issuance included:
$1.5 billion in 3-year notes
$1 billion each in 5-, 7-, and 10-year notes
The offering was met with overwhelming demand, drawing $10 billion in orders, according to a source familiar with the deal.
Apple wasn't alone. Eight other major issuers—Comcast (CMCSA), General Motors (GM), and DTE Electric Co, among them—piled into the investment-grade market ahead of Wednesday's Federal Reserve meeting, hoping to dodge post-policy announcement volatility.
This surge follows a tense period of investor hesitation tied to President Trump's shifting tariff stance. Now, issuers are capitalizing on a short window of rate and spread stability.
To better understand how companies like Apple manage debt and capital strategy, analysts often dig into detailed breakdowns in Balance Sheet Statements, especially focusing on long-term liabilities and short-term liquidity.
Meanwhile, tracking corporate bond activity in tandem with Key Metrics—such as interest coverage ratios—helps investors evaluate how effectively these firms can meet rising interest obligations in uncertain macro conditions.
Despite the issuance boom, investment-grade bond funds have seen outflows for six straight weeks, the longest stretch since November 2022, according to BMO's Dan Krieter. Yet as credit spreads tighten, analysts expect strong demand for quality debt to continue—at least until the Fed signals its next move.
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