Shareholders of Apple (AAPL) have voted to reject a proposal that would have abolished the technology company’s diversity, equity and inclusion (DEI) programs and policies.
The proposal, submitted by the National Center for Public Policy Research, was voted down at Apple’s annual shareholder meeting. The proposed change would have required Apple to cancel all of its company-wide DEI efforts.
The choice to maintain Apple’s DEI programs runs counter to the current trend sweeping through Silicon Valley that has seen other mega-cap technology companies such as Alphabet (GOOGL), Meta Platforms (META), and Microsoft (MSFT) rollback their DEI initiatives following the re-election of U.S. President Donald Trump.
Bucking the Trend
Speaking at Apple’s shareholder meeting, National Center for Public Policy Research Executive Director Stephen Padfield said that DEI programs are themselves discriminatory. “The vibe shift is clear. DEI is out and merit is in,” said Padfield.
However, Apple shareholders disagreed and rejected the proposed measure. The company said that it is already compliant with U.S. employment laws and that the proposal inappropriately sought to micromanage the company’s internal affairs.
Diversity Strengths
Apple has inclusion programs ranging from internal support groups, features for people with disabilities, and research efforts to ensure company products and services don’t display racial bias, according to its public-facing website.
“Our strength has always come from hiring the very best people and then providing a culture of collaboration, one where people with diverse backgrounds and perspectives come together to innovate and create,” said Apple CEO Tim Cook at the shareholder meeting.
AAPL stock has declined about 1% over the past 12 months.
Is AAPL Stock a Buy?
The stock of Apple has a consensus Moderate Buy rating among 33 Wall Street analysts. That rating is based on 18 Buy, 11 Hold, and four Sell recommendations assigned in the last three months. The average AAPL price target of $250.95 implies 1.02% upside from current levels.
