Dow Jones News: Intel Soars on Solid Earnings

[ikevi]

I assume most of you saw the news, but Intel's quarterly knocked it out of the park. And it looks like they are investing (again) a lot of money into trying to meet customers demands.


"Intel has managed to fend off rival Advanced Micro Devices, at least for now. Despite AMD launching competitive products across the desktop, laptop, and server chip markets, pressuring Intel on price, the chip giant was still able to impress investors with its fourth-quarter report."

...

"Intel plans to add additional wafer capacity in 2020 to meet growing demand for its PC chips. The company has been struggling to produce enough chips, and AMD's resurgence isn't helping matters. For 2020, Intel expects to produce revenue of $73.5 billion and non-GAAP (adjusted) EPS of $5.00, up 2.1% and 2.7%, respectively, from 2019."


https://www.fool.com/investing/2020/01/24/dow-jones-news-intel-soars-on-solid-earnings-apple.aspx

Adding Q4 report:
https://www.intc.com/investor-relat...eports-Fourth-Quarter-2019-Financial-Results/

 

[Nobu]

Yeah, you missed the first boat if you didn't buy any shares yet. Might get another op, but I expect it to go up a lot unless they make some big blunders. It's still way down right now.

Edit: well, maybe not way down–but they have room to grow, considering inflation.

 

[Mega6]

Yeah, you missed the first boat if you didn't buy any shares yet. Might get another op, but I expect it to go up a lot unless they make some big blunders. It's still way down right now.

Edit: well, maybe not way down–but they have room to grow, considering inflation.

Really? A 2.1% EPS increase does not make Intel a Rocketship. Short sighted investors are banking on a surprise pop from nothing more than market demand. Not new or interesting products, just pure demand. Even Intel knows their sales are going to be flat - they said so in the outlook. Look for AMD to fill the remaining 18% gap on the 20% Y-O-Y Datacenter growth since Apple has moved off 7nm to 5. AMD has now bought that remaining 7nm capacity from TSMC.

Good Luck with your investment.

 

[ikevi]

Mega, stick to the topic.

Intel had another outstanding year. (The had their 4th year of growth, in a "dead" market space where competition has caught up). They are being very honest about where they have gaps/need to work on. And they still are expecting to have another year of growth to 73.5 Billion. To me that is great news.

 

[Mega6]

Mega, stick to the topic.

Intel had another outstanding year. (The had their 4th year of growth, in a "dead" market space where competition has caught up). They are being very honest about where they have gaps/need to work on. And they still are expecting to have another year of growth to 73.5 Billion. To me that is great news.

I am sticking to the topic. Feel free to report off topic posts.

I see you mentioned AMD in your post, how exactly am I off topic? Please elaborate. All your doing is parroting the original post. Just cut and paste it again.

Intel is basically forecasting flat (2.1%). Wow., Exciting huh? AMD will bury that by far in a quarter.

AMD 2020 YoY EPS Growth Estimate: 77.83%

 

[Nobu]

Really? A 2.1% EPS increase does not make Intel a Rocketship. Short sighted investors are banking on a surprise pop from nothing more than market demand. Not new or interesting products, just pure demand. Even Intel knows their sales are going to be flat - they said so in the outlook. Look for AMD to fill the remaining 18% gap on the 20% Y-O-Y Datacenter growth since Apple has moved off 7nm to 5. AMD has now bought that remaining 7nm capacity from TSMC.

Good Luck with your investment.

Yeah, "missed the boat". I still expect it to go up, though tempered a bit after looking at the history again. If I were making a call, I'd say hold rather than buy.

 

[Mega6]

Yeah, "missed the boat". I still expect it to go up, though tempered a bit after looking at the history again. If I were making a call, I'd say hold rather than buy.

I expect Intel to come down after the "euphoria" of the initial quarter earnings wears off and people dig into the numbers more. You will have a better buy point for intel in 2020. Maybe even as soon as Jan 28th after AMD reports. There are better buys in the chip sector though.

 

[d3athf1sh]

yeah and intel sores on security.

 

[Susquehannock]

Nice rise on earnings. Kudos to those who got in before Friday. May it carry you well. To capitalize on price changes in companies like this my preference is options over stock. Expiration factor offers greater risk but more profit potential. The calls that I sold for over 500% profit in October are up over 1,000% from my original buy in price. No regrets. One can never lose by taking a profit. And wanted close out during previous tax year.

 

[nilepez]

Yeah, "missed the boat". I still expect it to go up, though tempered a bit after looking at the history again. If I were making a call, I'd say hold rather than buy.

I wouldn't buy it at this price. if it drops 10 bucks, I might be interested. As it stands, if you're looking for growth, I don't think Intel is gonna deliver and it won't provide much income either.

 

[Thunderdolt]

Intel is basically forecasting flat (2.1%). Wow., Exciting huh? AMD will bury that by far in a quarter.

AMD 2020 YoY EPS Growth Estimate: 77.83%

It's extremely misleading, at best, to compare growth as a percentage when one company has 10x the revenue and EPS of the other. Intel's Q4 net income nearly matched AMD's FY19 total revenue. AMD is barely big enough to bury Intel's morning constitutional if Intel dug the hole first.

One thing the link in the OP misses is that financials lag product launches by a quarter, and AMD's product launches often seem to lag behind the press launches by a quarter. Thus, the numbers coming from AMD this week are not going to cover any of the new mobile stuff announced at CES. AMD's new mobile products will hit their financial statements around Q3 most likely since that segment has the additional limitation of not being able to make any sales until the notebook makers roll out their new products. Their forthcoming numbers WILL include half a year of their new GPUs, but, in terms of financials, the full effect of those still won't really be seen until the summer.

Intel being flat with such relatively lackluster desktop offerings is a bit of a surprise, but it shows how much bigger and more diversified they are compared to AMD. It also means that they're poised for significant growth if they can finally launch something new (maybe Q4?).

Also, before someone says this earnestly, I'd like to say it sarcastically: AMD totally baited Intel by releasing their annual report second.

 

[Mega6]

It's extremely misleading,.

No, it's not because if your looking for a company who's share price will increase - AS AN INVESTOR - AMD is it. Don't make me whip out the share price charts for the past two years.

Fuk it,past year AMD share price increased 3x Intel - yes even including that little pop last week. Let me know if you want the year before too - because it gets worse.

 

[IdiotInCharge]

No, it's not because if your looking for a company who's share price will increase - AS AN INVESTOR - AMD is it. Don't make me whip out the share price charts for the past two years.

Why not look at the past 20?

And what do you think will happen to AMDs share price the very moment Intel announces a product to outclass Zen?

 

[Mega6]

Why not look at the past 20?

Because we are talking about last quarter and recent performance. 20 years ago has no bearing on what the share price will do this year.

And what do you think will happen to AMDs share price the very moment Intel announces a product to outclass Zen?

Great theory. No evidence that intel can outclass anything. What do you think will happen as AMD accelerates it's CPU lead and grabs even more datacenter?

 

[IdiotInCharge]

Because we are talking about last quarter and recent performance.

You're talking about buying shares, and you're not specifying how long you'd plan to hold them -- the longer you hold them, the better Intel shares will likely perform vs. AMD.

20 years ago has no bearing on what the share price will do this year.

Did you predict that Intel would have a decent quarter? We know the answer to that, since you bought AMD.

Do you think you can predict five years from now?

No evidence that intel can outclass anything.

Literally their entire history.

What do you think will happen as AMD accelerates it's CPU lead and grabs even more datacenter?

Given AMDs history, if they grab more datacenter, it will happen slowly, and the chance that they'll continue to press CPU performance is remote.


Again, just based on each company's respective history.

 

[Mega6]

You're talking about buying shares, and you're not specifying how long you'd plan to hold them -- the longer you hold them, the better Intel shares will likely perform vs. AMD.

I made more medium term with AMD than anyone did with Intel. Pretty easy to see why.

Did you predict that Intel would have a decent quarter? We know the answer to that, since you bought AMD.

Even Intel didnt predict, so how would anyone else know? They got lucky off increased demand, did you miss that - I already mentioned that.

Do you think you can predict five years from now?

nope - but I can predict before next year because intel has nothing until then.

Literally their entire history.

Nope, past history does not ensure future success.

Given AMDs history, if they grab more datacenter, it will happen slowly, and the chance that they'll continue to press CPU performance is remote.
Again, just based on each company's respective history.

You dwell on the past of 5-20 years ago because that's all you have. Try acquainting yourself with the past couple years and the current CPU roadmaps and the current situation a bit more. It will be more on track with the thread subject and reality.

 

[IdiotInCharge]

I made more medium term with AMD than anyone did with Intel. Pretty easy to see why.

If you're still holding those shares, then you haven't made anything.

Even Intel didnt predict, so how would anyone else know? They got lucky off increased demand, did you miss that - I already mentioned that.

So you're predicting a drop in demand?

Nope, past history does not ensure future success.

Nothing ensures success, but past history is a good predictor.

You dwell on the past of 5-20 years ago because that's all you have.

All I have for... What?

The truth?

Try acquainting yourself with the past couple years and the current CPU roadmaps and the current situation a bit more. It will be more on track with the thread subject and reality.

That's what I've based my comments on, thanks, but I also have no financial interest to prop up.