Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Anyone here still own Intel? Anyone considering selling now?
Old 07-15-2014, 06:49 PM   #1
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Mulligan's Avatar
 
Join Date: May 2009
Posts: 7,379
Anyone here still own Intel? Anyone considering selling now?

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
__________________

__________________
Mulligan is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 07-15-2014, 06:58 PM   #2
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
NW-Bound's Avatar
 
Join Date: Jul 2008
Posts: 19,421
I do not currently own Intel, but have some other semiconductor stocks. Some have languished for a few years now, and just recently moved up. It looks like the fundamentals support the price increase. The whole group has been moving up.

Of course the real question is whether these stocks have gotten into the overvalue range. My guess is no, so I am not thinking of selling any. But that's just me, of course.
__________________

__________________
"Old age is the most unexpected of all things that can happen to a man" -- Leon Trotsky
NW-Bound is online now   Reply With Quote
Old 07-15-2014, 07:10 PM   #3
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Mulligan's Avatar
 
Join Date: May 2009
Posts: 7,379
Quote:
Originally Posted by NW-Bound View Post
I do not currently own Intel, but have some other semiconductor stocks. Some have languished for a few years now, and just recently moved up. It looks like the fundamentals support the price increase. The whole group has been moving up.

Of course the real question is whether these stocks have gotten into overvalue range. My guess is no, so I am not thinking of selling any. But that's just me, of course.

I was listening to a talking head who said take the money if you got in at a good price. He said PE has had multiple expansion from 10-12 the past several years and was now at 17. I have not noticed any announcement for an increased dividend instead it is some share buy backs. It's interesting how you can be wrong and still make money. I bought it for dividend rate and thinking it will push it's way into mobile real soon. Well, it appears they are losing more money than ever in that segment.


Sent from my iPad using Tapatalk
__________________
Mulligan is offline   Reply With Quote
Old 07-15-2014, 07:37 PM   #4
Recycles dryer sheets
 
Join Date: Jun 2014
Posts: 406
I'm an owner..

It might be time to get out but they are also one of the few companies that manufacture chips in very high volumes still and have the technology too. It's hard to judge how valuable that is these days but I like to think there is some value there
__________________
If money is the root of all evil I want to be a bad man
nuke_diver is offline   Reply With Quote
Old 07-15-2014, 08:23 PM   #5
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
NW-Bound's Avatar
 
Join Date: Jul 2008
Posts: 19,421
Often, when in doubt I would sell half, so that either way the stock moves I am still half-right.
__________________
"Old age is the most unexpected of all things that can happen to a man" -- Leon Trotsky
NW-Bound is online now   Reply With Quote
Old 07-15-2014, 08:43 PM   #6
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
NW-Bound's Avatar
 
Join Date: Jul 2008
Posts: 19,421
Quote:
Originally Posted by Mulligan View Post
... He said PE has had multiple expansion from 10-12 the past several years and was now at 17...
Again, I do not own Intel, but just look this up out of curiosity.

Yes, current P/E is 17, but earnings are expected to improve such that forward P/E will be 14.7. Compared that to S&P with current P/E of 19.1 and forward P/E of 16.5, Intel does not look expensive at all.
__________________
"Old age is the most unexpected of all things that can happen to a man" -- Leon Trotsky
NW-Bound is online now   Reply With Quote
Old 07-15-2014, 09:13 PM   #7
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Mulligan's Avatar
 
Join Date: May 2009
Posts: 7,379
Quote:
Originally Posted by NW-Bound View Post
Again, I do not own Intel, but just look this up out of curiosity.



Yes, current P/E is 17, but earnings are expected to improve such that forward P/E will be 14.7. Compared that to S&P with current P/E of 19.1 and forward P/E of 16.5, Intel does not look expensive at all.

I wish they would bump up the dividend to motivate me to keep it. Selling half like you mentioned would be a good idea if I was a true active investor. But that would just expose me the opportunity to buy something dumb. I am learning a lesson in investing without a plan. My mutual funds I just put in $500 a month and consider that long term money, that I plan on never spending so the ups and downs will not effect me. This "set aside money to buy stock" causes me mental accounting problems. I planned at the beginning of the year to convert some of my HSA money into a long term investment, so I put 10k into Chevron and it jumped 10% in a month. So what did I do? I sold, thinking I just made 10 years worth of interest in one month. But now I am right back to the original problem of all my HSA money sitting in the low interest bearing account. I cannot get my mind to accept all of my money as one pot inside of several buckets.


Sent from my iPad using Tapatalk
__________________
Mulligan is offline   Reply With Quote
Old 07-15-2014, 10:00 PM   #8
Recycles dryer sheets
check6's Avatar
 
Join Date: Jan 2009
Posts: 383
I sold INTC and replaced it with MU some time ago. If you are not already I would subscribe to Seeking Alpha (no fees) for good, in depth discussions on INTC.

Personally I would have sold, but then I am a trader.
__________________
check6 is offline   Reply With Quote
Old 07-15-2014, 10:47 PM   #9
Thinks s/he gets paid by the post
MooreBonds's Avatar
 
Join Date: Aug 2004
Location: St. Louis
Posts: 2,091
My cost is 24.76. Was thinking about taking profits on Monday - glad I didn't.

The good thing is that Intel is the leading edge manufacturer for the ever-shrinking chip sizing, so they have to eventually be capitalizing on the smaller competition. But the big question is if the mobile market will give them enough growth for shrinking desktops/laptops. I assumed it would, and that more decides will need processors in the future....but the market doesn't seem to be pricing the stock that way (at least, it hasn't over the past few years).

With a yield of almost 3%, I'll probably hold it for a while and give it another chance.
__________________
Dryer sheets Schmyer sheets
MooreBonds is offline   Reply With Quote
Holding INTC
Old 07-15-2014, 11:12 PM   #10
Recycles dryer sheets
 
Join Date: Jan 2012
Posts: 244
Holding INTC

I am holding INTC. It is a megacap and offers security needed by investors who are now moving their money from small cap stocks into mega cap stocks in this later part of the bull market.

IMHO we still have at least a couple years of bull market left and expect mega cap stock to fare better than small and midcap stocks until the yield from bonds catches up at which time it would be time to get more defensive.

Only time will tell if that strategy works. Happy investing
__________________
Rickt is offline   Reply With Quote
Old 07-15-2014, 11:43 PM   #11
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
harley's Avatar
 
Join Date: May 2008
Location: Following the nice weather
Posts: 6,428
Mulligan, I have owned INTC for over 20 years, and it's done me right by paying dividends. It's what's known as a cyclical stock, with the value rising and falling many times over the years, but the dividend keeps on paying. It's no Altria (Philip Morris), but it's been a dependable payer for years. I actually never pay any attention to the stock price, I just keep on banking the dividends. And of course when the stock price drops, the dividend percentage rises.

I guess it depends on what you want it for. It never hurts to cash out with a profit, but if you are looking for a nice buy and hold stock, you could do a lot worse.
__________________
"Good judgment comes from experience. Experience comes from bad judgement." - Will Rogers, or maybe Sam Clemens
DW and I - FIREd at 50 (7/06), living off assets
harley is offline   Reply With Quote
Old 07-16-2014, 08:13 AM   #12
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Mulligan's Avatar
 
Join Date: May 2009
Posts: 7,379
Quote:
Originally Posted by harley View Post
Mulligan, I have owned INTC for over 20 years, and it's done me right by paying dividends. It's what's known as a cyclical stock, with the value rising and falling many times over the years, but the dividend keeps on paying. It's no Altria (Philip Morris), but it's been a dependable payer for years. I actually never pay any attention to the stock price, I just keep on banking the dividends. And of course when the stock price drops, the dividend percentage rises.

I guess it depends on what you want it for. It never hurts to cash out with a profit, but if you are looking for a nice buy and hold stock, you could do a lot worse.

So Harley you bought it before the big run up 15 years ago and didn't regret or was tempted to cash in when the price went wild? It seems odd a few years ago they were very aggressive in raising the dividend, now it appears it is not a priority.


Sent from my iPad using Tapatalk
__________________
Mulligan is offline   Reply With Quote
Old 07-16-2014, 08:20 AM   #13
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Mulligan's Avatar
 
Join Date: May 2009
Posts: 7,379
Quote:
Originally Posted by MooreBonds View Post
My cost is 24.76. Was thinking about taking profits on Monday - glad I didn't.

The good thing is that Intel is the leading edge manufacturer for the ever-shrinking chip sizing, so they have to eventually be capitalizing on the smaller competition. But the big question is if the mobile market will give them enough growth for shrinking desktops/laptops. I assumed it would, and that more decides will need processors in the future....but the market doesn't seem to be pricing the stock that way (at least, it hasn't over the past few years).

With a yield of almost 3%, I'll probably hold it for a while and give it another chance.

I read they had like 50 million in revenues and a billion in losses in the handset business this past quarter. I read they are trying to buy their way into the business, maybe it will work, but that is some sorry looking numbers!


Sent from my iPad using Tapatalk
__________________
Mulligan is offline   Reply With Quote
Old 07-16-2014, 08:28 AM   #14
Thinks s/he gets paid by the post
target2019's Avatar
 
Join Date: Dec 2008
Posts: 3,708
Intel has a tough road. I'm not up-to-date on their products, but that in itself is foretelling. I used to see many "Intel Inside" stickers. Now I have tablets and phones with some core that comes from somewhere.

Quote:
Intel has returned to the good old days, at least for a quarter. Longer term, it wants to enter a new and more complex world.
http://www.nytimes.com/2014/07/16/te...-pcs.html?_r=0

Rather than being part of the new world, they want to enter it. That is generally bad news for a large company.
__________________
target2019 is offline   Reply With Quote
Old 07-16-2014, 11:39 AM   #15
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Mulligan's Avatar
 
Join Date: May 2009
Posts: 7,379
Quote:
Originally Posted by NW-Bound View Post
Often, when in doubt I would sell half, so that either way the stock moves I am still half-right.

Well NW, I followed your path a bit. I just sold 300 shares and kept 200. I couldn't resist when it broke $34. People used to brag how they made money on buying Intel in low 20s and selling in upper 20s over and over. It clearly has broke out of that pattern. If the price deflates again, I may buy back in... Or if I was smart, I would quit while I am ahead.


Sent from my iPad using Tapatalk
__________________
Mulligan is offline   Reply With Quote
Old 07-16-2014, 11:48 AM   #16
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
NW-Bound's Avatar
 
Join Date: Jul 2008
Posts: 19,421
Good man! You can now say that you have rebalanced some to cash and people are none the wiser.


PS. Another thing I have done when I am not able to overcome my greed and let the stocks go is to write covered calls. That way, I can squeeze a few more bucks out of it if the stock continues to rise, or stays stagnant. Or even if the stock drops, that saves me the trouble of buying it back.
__________________
"Old age is the most unexpected of all things that can happen to a man" -- Leon Trotsky
NW-Bound is online now   Reply With Quote
Old 07-16-2014, 11:58 AM   #17
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Mulligan's Avatar
 
Join Date: May 2009
Posts: 7,379
Quote:
Originally Posted by NW-Bound View Post
Good man! You can now say that you have rebalanced some to cash and people are none the wiser.


PS. Another thing I have done when I am not able to overcome my greed and let the stocks go is to write covered calls. That way, I can squeeze a few more bucks out of it if the stock continues to rise, or stays stagnant. Or even if the stock drops, that saves me the trouble of buying it back.

I have read about those, but only know enough to be dangerous to myself. My smallish portfolio was already plenty flush with CDs and IBonds. It already looked like a Widows and Orphans stash. Now it's looking even more like a Widow's portfolio inherited from a widow...


Sent from my iPad using Tapatalk
__________________
Mulligan is offline   Reply With Quote
Old 07-16-2014, 12:25 PM   #18
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
NW-Bound's Avatar
 
Join Date: Jul 2008
Posts: 19,421
You are obviously sitting on way too much cash.

Let me tell you about this bridge that despite its age is still in mint condition...

By the way, the stock with the best 12-month gain for me is Alcoa (symbol AA). It has risen to be 1% of my portfolio, the largest position that is not an ETF or a conglomerate like Berkshire. And I am not selling any.
__________________
"Old age is the most unexpected of all things that can happen to a man" -- Leon Trotsky
NW-Bound is online now   Reply With Quote
Old 07-16-2014, 01:09 PM   #19
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
harley's Avatar
 
Join Date: May 2008
Location: Following the nice weather
Posts: 6,428
Well, you talked me into it. I checked and my cost (split adjusted) was around $4. So I sold all my shares (212). Now I've made myself a note to check the price in a couple of months. If it's dropped back down I'll repurchase it in my Roth.

I'm trying to move all my individual stocks into my Roth so I can trade without worrying about taxes. Not that I trade often (as evidenced by holding INTC for over 20 years), but there have been a couple of times I would have liked to sell something (AAPL) that jumped up after I bought, but would have incurred STCG tax. I sold the rest of my AAPL earlier this year. I've about maxed out my 0% LTCG capability for the year, unless I want to cut into my Roth conversion bucket.

I love this financial stuff! At least when I make money.
__________________
"Good judgment comes from experience. Experience comes from bad judgement." - Will Rogers, or maybe Sam Clemens
DW and I - FIREd at 50 (7/06), living off assets
harley is offline   Reply With Quote
Old 07-16-2014, 01:29 PM   #20
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
NW-Bound's Avatar
 
Join Date: Jul 2008
Posts: 19,421
That's it! I am looking to buy INTC, now that two posters have sold.
__________________

__________________
"Old age is the most unexpected of all things that can happen to a man" -- Leon Trotsky
NW-Bound is online now   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Anyone play the sell Intel in the upper 20s and buy in the lower 20s game? Mulligan Stock Picking and Market Strategy 15 01-15-2014 08:29 PM
Considering selling TIPS and buying Treasuries Today Safe Harbour FIRE and Money 3 08-01-2011 11:46 AM
Intel / INTC? ERD50 Stock Picking and Market Strategy 13 01-25-2009 10:33 AM
Anyone considering tax-loss selling? Nords FIRE and Money 29 09-30-2008 02:46 PM
Microsoft "fudged" Vista for Intel?!? Nords Stock Picking and Market Strategy 54 03-04-2008 05:28 PM

 

 
All times are GMT -6. The time now is 08:29 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.