US businesses warned European leaders Monday they risk a “grievous self-inflicted wound” unless they overturn Brussels’ request for Apple (AAPL
) to pay the Irish government $14bn in taxes. Those profits increased to some $2.4 trillion according to new estimates
Meanwhile, Apple (APPL) shares broke their four-day streak of gains Friday, closing down 0.6% while continuing to show an 11% increase on the week.
The Business Roundtable group defended the technology giant over its recent tax dispute with the European commission in an open letter
to the leaders of the 28 European Union countries.
Consequently, the EU's antitrust commissioner, Margrethe Vestager, was in Washington on Monday to meet with U.S. officials, including Treasury Secretary Jack Lew, who has been critical of the EU investigations into taxes paid by American companies on profits held outside the U.S.
that the EU was within its rights to order Ireland recover taxes from Apple and signalled more major US companies could face scrutiny.
The EU is not just going after American companies. The latest tax probe is looking into tax deals granted by Luxembourg to a French electric utility company.
The European Commission said the Luxembourg tax ruling seem to provide an outlet that lets the company, the GDF Suez Group, now known as Engie, pay no taxes on a significant proportion of profits recorded in that country.
In the last seven days, 11 analysts
have give AAPL a 100% positive rating with a median target of $127.5 (12% upside).
Analysts at Citigroup maintain their "buy" rating for Apple Inc. (AAPL) commenting on the new iPhone 7 handsets. The target price is $120. Citigroup said
, "Supply remains the gating factor for iPhone 7 Plus and iPhone 7 Jet Black models which arrived in very limited quantities at stores, and in some cases only to suffice for those who had pre ordered and were picking it up in the Apple store."