Thoughts on INTC?

[lovetobike]

I bought INTC when it dipped earlier this year ($19.34 and $18.90). With the recent news about INTC, I getting a lot of mixed reviews. I'm trying to decide if I should sell my entire position or keep holding it and collect the dividend. They seem to trade in the $17-$23 range.

JUBAK is bearish saying to sell and wait on the sidelines:
articles.moneycentral.msn.com/Investing/top-stocks/blog.aspx?post=3fed383d-b76f-4f2a-a90a-0108cdfaaeea#ic-anchor

WSJ: makes me wonder if NVDA should something to look at instead
online.wsj.com/article/SB10001424052748703779704576074261930837524.html

WSJ: seems to support JUBAK's position
online.wsj.com/article/SB10001424052748703889204576078294229397706.html

But I've read other articles/blog posts (I don't have the time to find them right now) and they seem to think INTC will adapt its business and be able to catch up and there is growth potential.

For those of you with experience in trading or tech stocks, what are your thoughts?

[rovo]

Thoughts on INTC

This is an extremely solid company with an extremely loyal following. They will do fine for years to come.

However, they are also in a mature industry and growth is limited. They are paying a dividend of 3.38% and I believe the dividend will continue to be paid and will increase over the coming years. The top line will continue to grow but at a slow rate as this is no longer a growth company.

Overall, VERY LOW RISK with LOW to MODERATE RETURNS.

[bimetalaupt]

Jan 13, 2011 8:56:18 GMT -5 rovo said:

Thoughts on INTC

This is an extremely solid company with an extremely loyal following. They will do fine for years to come.

However, they are also in a mature industry and growth is limited. They are paying a dividend of 3.38% and I believe the dividend will continue to be paid and will increase over the coming years. The top line will continue to grow but at a slow rate as this is no longer a growth company.

Overall, VERY LOW RISK with LOW to MODERATE RETURNS.

Rovo,
Yes, but it has a PEG of 0.9 so it is cheap with future earnings return of about 10%..Not a bad deal... I sold out my INTC with the need for cash to finish my MBA in 1999.. I thought the MBA would pay 5% more...but 10 percent is 10 percent assuming every dollar of retained earning will increase the price by one dollar.

Just a thought,
Bi Metal Au Pt

[clarkrl2]

For what it's worth I think INTC is about 24% undervalued. I own shares that I have a target of $26.18.

[Deleted]

i use a custom tradestation program for buy, sell, and hold decisions.... it has a very short term point of view, it seldom picks absolute tops and never gets you in at the bottom.... that said yesterday INTC hit a 10% sell target and the program suggested a sell on the position at $21.30
stockcharts.com/h-sc/ui?s=INTC&p=D&yr=0&mn=4&dy=0&id=p76118092618

[bimetalaupt]

Valu-pro has INTC listed at 43.64 in long term value.. 10 years

using 3% Equity Permium and 5% for 10 year T-Bond(aka risk free) rate

[danshirley]

INTC:
blogs.barrons.com/techtraderdaily/2011/01/14/intel-estimates-price-targets-up-all-around-but-debate-continues/?mod=yahoobarrons
finance.yahoo.com/q/bc?s=INTC&t=5y&l=on&z=l&q=l&c=
Bullish Trade:
Sell the Jan 2012 15 put and buy the Jan 2012 12.5 put for a net credit of $25.
Yield = 25/225 = 11.1%
Prob = 86%
Bearish Trade:
Sell the Jan 2012 30 Call and buy the Jan Jan 2012 35 call for a net credit of $15.
Yield = 15/485 = 3%
Prob = 91%

I may do both creating an Iron Condor. Which has better stats than either trade alone because you can't be wrong on both sides at the same time.