Intel Stock - I'm Buying For Earnings, Dividends & Buybacks
An Intel Stock Analysis has been what most of you requested so, because the stock is down but has good fundamentals and offers a very positive outlook, I went into a deep analysis.
I also bought Intel stock for my portfolios because the risk and reward is on the positive investing side despite the murky short term outlook that many analysts have.
When it comes to buying Intel stock, one has to differentiate between the negative news or noise that has pushed Intel's stock price below $50 and the fundamentals that still look good with high cash flows, strong buybacks and a growing dividend.
Intel will definitely lose market share as the environment it operates is more and more competitive, but what is a key investment factor, the semiconductor sector is a growth one, and Intel can keep growing no matter the competition. AMD, NVDA, QCOM and others will do their thing for sure and eat into INtel's moat, but it is most likely Intel will keep growing.
In a conservative growth scenario of just 3% per year, and investment into Intel now would likely lead to great long term returns and that is why Intel is a stock to buy now.
There are also risks, Intel could end up like IBM, but it is more likely it will end up like Apple stock. Intel now reminds me of Apple in 2016 because the fundamentals were there but the analysts were all worries about the lack of innovation with the new iPhone and consequently lower revenue growth and no profit growth. They were completely right, but the stock went from $100 to the current $500.
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