Why Stephanie Link Keeps Adding To Her Apple Position On Weakness

High-growth tech stocks have fallen out of favor amid expectations of tighter Federal Reserve policy, but Hightower Advisors' Stephanie Link thinks Apple Inc's AAPL stock offers investors a sense of protection.

"It kind of acts like a defensive technology name," Link said Tuesday on CNBC's "Fast Money Halftime Report."

She highlighted the company's large $202 billion cash position. Apple has enough cash to repurchase 2% to 3% of its total shares outstanding for the next three to four years, Link said, adding that she expects the company to do just that beginning next quarter. 

"I think in April they are going to announce a $70 to $90 billion buyback program and increase the dividend as much as 5% to 7%," Link said.

See Also: Could Apple Stock Be In for A Bumpy Ride Later in 2022?

Link also expects Apple's services business to gain more momentum in 2022. She has been buying Apple shares on any weakness recently.

"I'm trying to find quality names that have good trends, good end markets, momentum and better valuation given the pullback."

AAPL Price Action: Apple has traded as low as $116.21 and as high as $182.94 over a 52-week period.

The stock was down 0.82% at $173.35 Tuesday afternoon.

Photo: courtesy of Apple.

Market News and Data brought to you by Benzinga APIs
Posted In: Long IdeasNewsDividendsBuybacksMediaTrading IdeasCNBCStephanie Link
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!