Anyone here still own Intel? Anyone considering selling now?

[NW-Bound]

NW, it probably wouldn't be the worst investment decision you ever made based on this info, as Fire'd has joined us too. Now there are 3.....Next stop $40 by the end of the month!

I am thinking, I am thinking...

 

[clifp]

I wrote some 30 covered call when the stock was at $27 and of course the stock continued to go straight up. After languish for a dozen years now you decide to go up..

Long time Silicon Valley writer Michael Malone makes a compelling case that Intel is still the most important company in the world in his new book Intel Trinity. His hypothesis is that even after 40 years Intel, by continuing to pursue Moore's Law with a passion is setting the pace for the rest of the tech industry. Or too put it another way if Intel disappeared tomorrow the pace of change and innovation would slow cause Moore's law would move from chip performance doubling every two years to say every 3 years.

Now if that still makes a great stock is completely different story. I'm going to probably let the stock get called away and I'm certainly not a buyer at this level.

 

[rbmrtn]

I still hold, I bought chunks when it was around $20 a couple of time. I bought for the dividend and it is part of my retirement "paycheck" so I probably won't sell, but an almost 10% jump yesterday sure makes it tempting.

One way to play it was already mentioned, take out your original purchase and let the rest run, you're playing with houses money then.

 

[Fermion]

Bah, I had 2000 shares at $22 but sold them at $23 for a quick profit. Ah well...win some, win some I guess.

 

[Mulligan]

I still hold, I bought chunks when it was around $20 a couple of time. I bought for the dividend and it is part of my retirement "paycheck" so I probably won't sell, but an almost 10% jump yesterday sure makes it tempting.

One way to play it was already mentioned, take out your original purchase and let the rest run, you're playing with houses money then.

That is more or less what I did yesterday.


Sent from my iPad using Tapatalk

 

[Totoro]

I bought INTC somewhere in the last 12 months, too lazy to look it up precisely when. It's up 20% or so on my cost base.

Not planning on selling anytime soon. I think it's probably fairly valued right now, but it's a great company in a good industry so happy to hold.

My rationale is that Intel has a high return on capital (15% - 20% or so) in a very capital-intensive business with large R&D investments, all resulting in a huge moat. In addition, the market they are in will only keep increasing.

So there is a good chance they'll continue to greatness.

In the mean time, they give off a bit of dividends and buybacks.

 

[RobLJ]

This stock has really jumped and I wonder if it has anything left. I was considering selling it. If the after hours price holds I have almost doubled my money in a little over a year and a half. I bought it really to collect dividend checks as it was almost 4.5% when I purchased it, but now the rate at current price is under 3% and they haven't raised it for several years. Would you hang on and let it ride? I know they got a pop from the laptops today but that doesn't seem to be a long term positive and all the other things they are in now, I could describe them and act like I know what I am talking about, but in truth I would just be bloviating.


Sent from my iPad using Tapatalk

IMO I liked the cash flow and the expected increase in earnings. I bought at 21 and 23 about 18 months and 12 months ago.

I would consider selling 1/3-1/2 of the position to "harvest expected dividends" in the form of capital gains, then let the ride maybe with a a 10-15% stop limit protecting your gains. Just a thought.
I did this with CAT about 5 weeks ago and got stopped out after it released earnings this week. I thought the 30% run off and increase in PE made it fully valued; might buy it back if there is a nice correction this summer. I like Intel's future and valuation better than CAT, so I used a limit order for the whole position on the assumption I might be able to buy it back at a cheaper price and PE.

I see rbm made essentially the same suggestion, and Totoro's rationale for holding is essentially mine, although Intel's cash flow accumulation is impressive. Also Mr. Softy, which I also own.

 

[Clone]

I own Intel in my HSA account. The balance of the account is mostly in cigarette and booze companies. If I were to sell the Intel, I would need to find some sinful stock to replace it. Anybody have suggestions? Maybe some fast-food stock.

 

[Mulligan]

I own Intel in my HSA account. The balance of the account is mostly in cigarette and booze companies. If I were to sell the Intel, I would need to find some sinful stock to replace it. Anybody have suggestions? Maybe some fast-food stock.

That is the problem with selling....now that I sold mine I have 10,000 in the sweep money market account, and I don't know what to buy yet. I wish Intel would just drop $10 real quick and I would buy it back again!


Sent from my iPad using Tapatalk

 

[Free To Canoe]

The Edward Jones guy recommended that our Stock club sell Intel. I see that it is doing quite well today. The explanation was competition from AMD is going to hurt them. Ha. Do they have serious foreign competition?

 

[Mulligan]

The Edward Jones guy recommended that our Stock club sell Intel. I see that it is doing quite well today. The explanation was competition from AMD is going to hurt them. Ha. Do they have serious foreign competition?

I kept 200 shares after locking profits last summer. I wont buy again, but I wont sell these either. They will either go bankrupt or go to the graveyard with me.


Sent from my iPad using Tapatalk

 

[clifp]

Intel had nice jump today on rumors of a take over of Altera. As I said earlier in the thread IMO Intel is $25-$30 dividend stock, with the higher market I'd make that to $30-$35.

I wrote some cover calls at $35, but I let the tax scare me and closed out my position (at a loss) instead of following my head and letting the stock get taken away.

AMD isn't really competition, but ARM certainly is, and Intel's mobile solutions while improving are still playing catchup.

 

[sheehs1]

I still own 600 shares of Intel. Bought at $19.56 (2012) and $23.94 (2013) with a unit cost of $21.76. Hold it in my IRA accounts. Have a 47.09% gain after today. Bought it more for the dividend so it's nice to have a buffer of cap gains.

I had been hanging onto KRFT too after the Mondelez spin off. Thought periodically about selling since I had only 250 shares. Didn't sell. Nice bump this week with the Heinze announcement.

 

[powerplay]

I have about 250 shares of Intel and plan to hold on to it. Most is in a DRIP account and some in Ameritrade.

 

[ESRwannabe]

The Edward Jones guy recommended that our Stock club sell Intel. I see that it is doing quite well today. The explanation was competition from AMD is going to hurt them. Ha. Do they have serious foreign competition?

AMD No INTC has thoroughly crushed AMD.

The worry for INTC is from ARM, which dominates cell phones. They have been working on making chips worthy of server computing and if they can get into that market it could go very badly for INTC.

The other worry for INTC would be IBM's OpenPower organization which they created to make POWER viable outside IBM mainframes. POWER chips could also pose a threat to INTC. There is some momentum behind their use in China.

I have owned INTC in the past but do not currently own it. If I did own it I would probably take the capital gains.

INTC has been somewhat screwed ever since they missed the mobile phone revolution. They still do great in the data center but that may not last. Other issue is that INTC's foundry expertise is a double edged sword. The other competitors (ARM, POWER, AMD x86, etc) all go with the foundryless option, which means Global Foundries, Samsung, and TSMC all get to benefit from pooled resources. INTC on the other hand has to fund it all by itself outside of some minor foundry deals.

 

[target2019]

The Edward Jones guy recommended that our Stock club sell Intel. I see that it is doing quite well today. The explanation was competition from AMD is going to hurt them. Ha. Do they have serious foreign competition?

Hopefully there's more to the analysis than AMD gonna put a hurtin' on them.

Looking at earnings history of AMD and INTC, I'd wager that AMD will be acquired by someone. The death of PC will hurt AMD more than INTC.

Analysts are sour on INTC in the 2nd year. That is probably what Eddie J is going with.

 

[Free To Canoe]

Thanks for the insights. The foundryless concept is a different way of thinking about the paradigm. As long as there are no shortages of qualified third party foundries. Maybe cutting edge chip manufacturing is less relevant these days.

 

[Totoro]

Thanks for the insights. The foundryless concept is a different way of thinking about the paradigm. As long as there are no shortages of qualified third party foundries. Maybe cutting edge chip manufacturing is less relevant these days.

I think it still is.

INTEL has a near unsurmountable advantage in terms of capital resources and market share (80% in the PC market). This means they typically run one or two generations ahead with the newest and greatest.

A clear sign of that was when they infused capital in ASML a short while back to accelerate EUV development there, without any exclusivity rights. It's to make sure the road ahead stays clear so they can move faster on it.

They did miss the mobile boat (single digit marketshare in 2011, for example), they will get back in though. They've been paranoid since day 1 of their existence and won't let that market run away from them forever.