Intel slashes dividend

Mega6 said:
Intel stock is going to go in the crapper.. Without a high dividend, there is literally no reason to buy or hold this stock.
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Here's hoping Intel can pull off their 3'rd party fab business, those new buildings are costing them a fortune, and they aren't even finished yet.
The Intel 7, 4, and 3 processes are looking good when compared to TSMC's equivalents, and are managing to make Samsung look bad because they are shitting the bed, sorry Samsung.
They are also slashing their pricing markups for their upcoming lineups, it is weird for me to reach out for quotes and find the Intel performance equivalent to be the "budget" option, but seriously what is up with ram and storage pricing this is just stupid... $3500 CAD for a 1.92TB SATA SSD and similar for a 64GB ram stick, they are smoking crack.
I might have to actually build my own workstations at this rate, but the new w7-3465x is looking very nice compared to its equivalent Threadripper so I might actually be switching back from AMD to Intel on my next procurement set, waiting to see if AMD responds to the price drops but I doubt it, they are riding high.

So maybe a shitty time to have Intel stock, but not such a bad time to be buying their hardware.
 
Intel's offerings on desktop are damn good, almost considered a build with them but I need something that will roll for generations... So it's AMD AM5. AMD servers still have a lead over intel and cost of ownership is lower due to power consumption but this might change it a year or so as Intel's Fabs get built and they reduce their Node size.

Apple just bought every single upcoming 3nm wafer from TSMC so they screwed AMD nicely there.
 
Mega6 said:
Intel's offerings on desktop are damn good, almost considered a build with them but I need something that will roll for generations... So it's AMD AM5. AMD servers still have a lead over intel and cost of ownership is lower due to power consumption but this might change it a year or so as Intel's Fabs get built and they reduce their Node size.

Apple just bought every single upcoming 3nm wafer from TSMC so they screwed AMD nicely there.
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I don't know about screwed AMD, not like they have anything planned on that node and I am not sure any of their designs would really benefit from that node shrink. TSMC also has a very limited 3nm capacity, less than half of their 5/4. If AMD even wanted to launch a 3nm part I doubt the current state of TSMCs manufacturing capabilities there would accommodate the demand.
The saddest part for AMD and Intel there is that Apple is notoriously accurate in the predictions of how much silicon they will need at any given time, if they are gobbling up that much 3nm supply they expect to move it all. So as many gains as AMD has made against Intel in terms of x86 market share, I seriously wonder how much Apple has managed to take from both of them in terms of total computing market share.
 
Lakados said:
I don't know about screwed AMD, not like they have anything planned on that node and I am not sure any of their designs would really benefit from that node shrink. TSMC also has a very limited 3nm capacity, less than half of their 5/4. If AMD even wanted to launch a 3nm part I doubt the current state of TSMCs manufacturing capabilities there would accommodate the demand.
The saddest part for AMD and Intel there is that Apple is notoriously accurate in the predictions of how much silicon they will need at any given time, if they are gobbling up that much 3nm supply they expect to move it all. So as many gains as AMD has made against Intel in terms of x86 market share, I seriously wonder how much Apple has managed to take from both of them in terms of total computing market share.
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You give apple too much credit. Yes, they are good at paying top dollar for getting TSMC's cutting edge nodes every time - But no one can predict the future to a "T" on chip orders.

TSMC’s Largest Customer, Apple, Reduces Chip Orders Significantly​


It's almost certain that AMD and others got pushed off 3nm, if not for early this year but the entire year.

Zen5 on 3nm
wiki
Toms
 
Mega6 said:
Intel stock is going to go in the crapper.. Without a high dividend, there is literally no reason to buy or hold this stock.
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I am sorry but this is not an objective outlook on a good stock, especially considering we are in a recession. Intel is a solid company and is getting hammered, along with a lot of the tech sector but it's going to take time to recover (like many stocks out there). Cutting dividends is good for the company just not the stockholders. Basic economics.
 
https://www.cnet.com/culture/intels-new-diversity-goals-put-women-in-40-of-technical-posts-by-2030/

As progress toward increased diversity in the tech industry lumbers along, Intel is staking out new goals for itself and other companies for 2030. According to the company's Corporate Responsibility Report, out Thursday, Intel says it'll increase the number of women in technical roles to 40% and double the numbers of women and underrepresented minorities in senior roles by 2030.

Maybe if hiring best people for the job had been a priority since 2014...
 
techie81 said:
I am sorry but this is not an objective outlook on a good stock, especially considering we are in a recession. Intel is a solid company and is getting hammered, along with a lot of the tech sector but it's going to take time to recover (like many stocks out there). Cutting dividends is good for the company just not the stockholders. Basic economics.
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Intel's decline in stock price started before last year, take another look at amd vs intel. It's on decline since April '21. This was when almost all the semis were peaking.
 
Yep, made money with AMD stock, loosing money now with Intel stock. I am sure price will drop even further now since dividends was about the only thing holding the stock steady. Down it goes I think. Once bottom hits, Intel may be a very stock to own due to fabs being built, longer term investment.
 
Mega6 said:
Intel's decline in stock price started before last year, take another look at amd vs intel. It's on decline since April '21. This was when almost all the semis were peaking.
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A lot of Intel's value is based on its manufacturing capabilities which are no longer the best, and on its undisputed leadership in the x86 market, which it no longer is. Quite frankly, their old leadership was arrogant, and they are overvalued.
The market is shifting and Intel is too big and slow to react accordingly, they will get there but unlike smaller more agile competitors they won't get there first, there is too much red tape and bureaucracy in getting good concepts into some phase of R&D.
Intel is going to need to brute force it.
 
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Intel will never be the behemoth that controls 90 percent of the market ever again. I think some shareholders are still having issues coming to grips with that.
 
Well that's that then, I'm out. I've got 2000 shares of Intel that I've had for years and held on to just for the dividend. It's never been a good growth stock but always has a decent dividend. Now that it's worth only $25/share and the annual dividend is now 48¢ instead of $1.46 there is literally no reason at all the keep it. Sucks I have to take such a loss on it tho but I don't see it getting higher than $30 anytime soon.

I knew I should've sold it 6 months ago when it was dropping but I kept telling myself c'mon man, it's Intel. They'll bounce back. Plus Gelsinger (CEO) was on record bragging that the dividends were safe and not going to be cut.

Now to decide what to buy in its place.
 
Mega6 said:
Intel will never be the behemoth that controls 90 percent of the market ever again. I think some shareholders are still having issues coming to grips with that.
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Nothing can remain at the top forever, there will always be a disruption, when and from where you will never know but it is inevitable.
I doubt their market leadership in the various fields will go away any time soon but x86 is no longer king. GPUs, ARM, and special purpose silicon are all making small cuts and finding ways to wriggle into places Intel held as their own. They are too big to be the best at everything so while they won’t go away they do find themselves in the position of having no clear specialty in a world looking for specializations.
 
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Lakados said:
Nothing can remain at the top forever, there will always be a disruption, when and from where you will never know but it is inevitable.
I doubt their market leadership in the various fields will go away any time soon but x86 is no longer king. GPUs, ARM, special purpose silicon, they are all making small cuts and finding ways to wriggle into places Intel held as their own. They are too but to be the best at everything so while they won’t go away they do find themselves in the position of having no clear specialty in a world looking for specializations.
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Specialization will chip away at x86 but intel can't even keep their portion percentage of that shrinking x86 pie. Negative growth is not growth. Intel is shrinking.
 
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