Intel?
Intel?
Sorry if this is elsewhere on here. Does anyone here hold Intel stock? Looks like it just stays at $20 or so and doesn't really go anywhere. It does pay a dividend though. Do you think that's worth holding? The dividend looks like it's approaching 25 cents. So let's say that's $1 a year. So $1 is only 5% of $20. Less than say 8% on a mellow mutual fund or something. But it's in dividend form. But maybe it's not worth it? If you held say $10,000 worth you could get $500 a year maybe. $10,000 to earn $500 isn't great but at least it looks pretty reliable. Anyone have any thoughts about this?
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workathome
- Posts: 1298
- Joined: Sat Jun 29, 2013 3:06 pm
Re: Intel?
Intel has so far failed to break into the mobile/tablet market, which is where all the growth is/has been.
http://www3.valueline.com/dow30/f4731.pdf
http://www3.valueline.com/dow30/f4731.pdf
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George the original one
- Posts: 5406
- Joined: Wed Jul 28, 2010 3:28 am
- Location: Wettest corner of Orygun
Re: Intel?
Yes, I hold INTC (and trade it). Buy when yield is high, sell some when it drops.
Right now, it's on probation because the dividend was not increased "on schedule". 2009 was the last time they were late, but then made up for it.
If you look back in time, you'll see that the dividend has doubled in the last 5 years. THIS is why you hold it, to have an income that increases faster than inflation, provided they can continue to increase the dividend.
Right now, it's on probation because the dividend was not increased "on schedule". 2009 was the last time they were late, but then made up for it.
If you look back in time, you'll see that the dividend has doubled in the last 5 years. THIS is why you hold it, to have an income that increases faster than inflation, provided they can continue to increase the dividend.
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ICouldBeTheWalrus
- Posts: 130
- Joined: Tue May 31, 2011 3:00 am
Re: Intel?
I have owned it, but I've been staying out of it lately.
While they have good products, it's not clear that they're positioned where the big money is going to be made. There will certainly be continuing demand for desktop/server processors, chipsets, and SSD products, but even in that area, the upgrade cycle is getting longer and longer. Also, when you get away from the latest bleeding edge stuff, it's increasingly just a commodity.
The PC is certainly not dead, but it's not an exciting high-multiple growth stock industry either. (And, on the other hand, I don't think INTC is a particularly good choice for a dividend either right now.)
While they have good products, it's not clear that they're positioned where the big money is going to be made. There will certainly be continuing demand for desktop/server processors, chipsets, and SSD products, but even in that area, the upgrade cycle is getting longer and longer. Also, when you get away from the latest bleeding edge stuff, it's increasingly just a commodity.
The PC is certainly not dead, but it's not an exciting high-multiple growth stock industry either. (And, on the other hand, I don't think INTC is a particularly good choice for a dividend either right now.)
Re: Intel?
I wouldn't touch Intel. Financially they look ok like a consumer staple but I have a big problem with their management. The place appears to be rife with fake managers and engineers the kind old big companies fill up with over their evolution. While the founders or even Grove could have slammed this BS back in the day, the tough old guys are long gone.
It is turning out like HP. In fact when I got laid off from HP a decade ago a big bunch of loser status quo managers and engineers fled to Intel. They all told me it was becoming a kinder gentler place like HP was before Carly.
I later went to work for an ex-middle manager from Intel. He was a polished talker and was a great people person. Problem was he was supposed to be an engineering manager and he wasn't technical. I couldn't believe how he got so far. After he botched up my department and acted like he was some hero for saving it he ran away before it collapsed. Where? To Intel to a higher post than he left. I asked around and pals inside said he had serious connections to the C suite. My same Intel contacts said he f'd up there before he came to me. Made sense because it was a big step down to be with me.
That's all fine. But you can keep the stock. I watched the same thing happen to HP and to some extent (as a supplier) to GM. Big old companies get as corrupt as third world countries.
It is turning out like HP. In fact when I got laid off from HP a decade ago a big bunch of loser status quo managers and engineers fled to Intel. They all told me it was becoming a kinder gentler place like HP was before Carly.
I later went to work for an ex-middle manager from Intel. He was a polished talker and was a great people person. Problem was he was supposed to be an engineering manager and he wasn't technical. I couldn't believe how he got so far. After he botched up my department and acted like he was some hero for saving it he ran away before it collapsed. Where? To Intel to a higher post than he left. I asked around and pals inside said he had serious connections to the C suite. My same Intel contacts said he f'd up there before he came to me. Made sense because it was a big step down to be with me.
That's all fine. But you can keep the stock. I watched the same thing happen to HP and to some extent (as a supplier) to GM. Big old companies get as corrupt as third world countries.
Re: Intel?
Sure, Intel is a big corporation with too much money and a lot of fat. What can you expect from effective monopoly? I think of Intel as an utility type investment (the yield is comparable to electrical power companies) with a call option to stock price ramp in case the mobile processor's start to gain market share.