Locator: 48639INTEL.
Locator: 48639INTC.
See disclaimer (briefly, posted at bottom of this blog).
A reader sent me an Intel press release stating that Intel is considering taking a huge writeoff to dump their focus on 18A chips and switch to 14A chips:
Three things:
- this looked like nothing more than a press release to keep Intel in front of analysts
- this information was already known to ChatGPT
- the top Fabs are now "well-known" to analysts and investors
- now it's pretty much: MOJO, FOMO, YOLO, "marketing," and quarterly results
- there is nothing in thepress release to suggest any "wow" factor
So, I asked ChatGPT: Compared to the rest of industry, how is Intel doing under its new CEO?
The answer was incredibly long. The four screenshots I took (I could have easily taken several more):
My comments, for the reader who sent me the Intel press release. Remember: this is not an investment site. These comments are meant for no one other than the reader and my extended family members who would ask me about Intel as an investment:
My comments:
- in the semiconductor (broadly defined) sector, I have picked my five or six companies in which I have invested;
- note: I also put AI companies in this group which are not semiconductor companies; these include Palantir, OpenAI, Perplexity, Anthropic
- Apple in this group is a given, of course, but it's in a class by itself; chips are a huge part of Apple's portfolio of core competencies, but I would not consider Apple a semiconductor company (same with MSFT, META, AWS)
- I initiated significant positions in five or six tech companies about two years ago and have added very little since; it is unlikely I will add any new tech companies in my personal portfolios;
- I am now investing in semiconductors through ETFs, not individual stocks
- Intel is my least favorite of the well-known semiconductor companies; I hold no shares in INTC, and probably never will
- Intel is for those with very long time horizons;
- it's a long-term play; Intel will be playing catch-up for the rest of my investing life, which I think will be ten years at most
- the current focus on 14A chips is simply Intel's marketing to keep up with TSMC
- INTC: slow to move -- the proposed switch from 18A to 14A will be proposed to the board later this month, but the board is unlikely to make a decision by the end of the year; by that time, the industry will have moved on; the entire AI sector will be a "new animal" by the end of 2025;
- Intel's share price will mostly be based on "the Cramer effect": MOJO, YOLO, FOMO, and marketig;
- Intel's focus from 18A to 14A is simply Intel working at the margins; won't move the needle
- multi-billion companies are buying "names," not "chips" -- I assume you know what I'm saying
- having said all that, in the semiconductor sector, I doubt you can go wrong with any of the big names, including INTC -- the AI phenomenon is going to positively affect all semiconductor companies, including Intel, over the next twenty years.
- some companies may be better as trading stocks than investment stocks; I put Intel in the former group; nimble traders will probably do well with Intel; I'm not a nimble trader; I don't buy and sell; I buy and hold.
This blog on Intel is / was not ready for prime time, but ...
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Disclaimer
Brief
Reminder
Briefly:
- I am
inappropriately exuberant about the Bakken and I am often well out front
of my headlights. I am often appropriately accused of hyperbole when it
comes to the Bakken.
- I am inappropriately exuberant about the US economy and the US market.
- I am also inappropriately exuberant about all things Apple.
- See disclaimer. This is not an investment site.
- Disclaimer:
this is not an investment site. Do not make any investment, financial,
job, career, travel, or relationship decisions based on what you read
here or think you may have read here. All my posts are done quickly:
there will be content and typographical errors. If something appears wrong, it probably is. Feel free to fact check everything.
- If anything on any of my posts is important to you, go to the source. If/when I find typographical / content errors, I will correct them.
- Reminder: I am inappropriately exuberant about the Bakken, US economy, and the US market.
- I am also inappropriately exuberant about all things Apple.
- And now, Nvidia, also. I am also inappropriately exuberant about all things Nvidia. Nvidia is a metonym for AI and/or the sixth industrial revolution.
- I've now added Broadcom to the disclaimer. I am also inappropriately exuberant about all things Broadcom.
- I've now added Oracle to the disclaimer. I am also inappropriately exuberant about all things Oracle.
- Longer version here.
