Recently, I was reading an investing article from an ex-Intel employee who has been drinking their Kool-Aid for about 30 years. Same old story for a tired old stock: Intel's next generation will blow the doors off the competition and grab acres of market share from the current manufacturers' of CPUs for Android tablets, iPads, etc., etc. "You just wait!" he said. The part that really made me gag was his arrogance to call the newest generation of mobile tablets, etc., "toys."
You see, Intel couldn't innovate their way out of a paper bag, except in regard to their one, not to be underestimated, prowess: Manufacturing. Yeah, they can work that wafer yield until chips are literally bulging the warehouse doors. That doesn't mean they can sell them, however, to the extent that they actually improve their stock price, which has been languising in the 20s (and below) for years on end. To their credit, the stock broke through the 150-day SMA a month or so ago, but I think that's more hope-based than anything.
Anyway, what got me started on that rant?
You see, Intel couldn't innovate their way out of a paper bag, except in regard to their one, not to be underestimated, prowess: Manufacturing. Yeah, they can work that wafer yield until chips are literally bulging the warehouse doors. That doesn't mean they can sell them, however, to the extent that they actually improve their stock price, which has been languising in the 20s (and below) for years on end. To their credit, the stock broke through the 150-day SMA a month or so ago, but I think that's more hope-based than anything.
Anyway, what got me started on that rant?




















