02-26-2021, 06:52 PM
I believe $INTC (Intel) will be the greatest value play in this year. Fair value sho
<!-- SC_OFF --><div class="md"><p>DD: I believe $INTC (Intel) will be the greatest value play in this year.</p> <p>Key points:</p> <ul> <li> Extremely undervalued P/E ratio of only 12.37x</li> <li> Industry competitors P/E ratio AMD: 40.88x</li> <li> Industry competitor P/E ratio 2 NVDA: 79.67x</li> <li> Fair evaluation of P/E means to match AMD's PE ratio INTC should be sitting around $200/share.</li> <li> Although Intel has missed its progression on nm competition vs AMD and NVDA, Intel is entering the GPU market and also remains one of the largest market caps in the industry.</li> <li> Biden recently formally requested a supply chain review to become more independent from Chinese suppliers for the semiconductor industry, which both AMD and NVDA heavily rely on, but INTC is producing everything in house.</li> </ul> <p>Current assessment of INTC is all bearish, which means you can get the stock at a heavy discount. INTC won't stay behind forever as nm tech progression isn't linear, it becomes harder and harder to progress to the next nm phase, and INTC owning its own supply chain is a significant industry advantage. Although AMD and NVDA is currently ahead in the nm processes, they do not own their own proprietary chips or processes, while INTC does. This puts INTC at a huge strategic advantage to boost up the US supply chain for chip supply, in the future for both CPU AND GPU. NOT just CPU. If INTC becomes fairly valued at industry PE ratios of their competitors of even just AMD, then fair value INTC stock price should hit near $200 per share levels. Currently INTC sits at around ~$60/share. Intel entering the GPU market will add significant value for the stock in addition to its strong internal supply chain in the US.</p> <p><a href="https://www.cnbc.com/2021/02/24/biden-signs-executive-order-to-address-chip-shortage-through-a-supply-chain-review.html">https://www.cnbc.com/2021/02/24/biden-signs-executive-order-to-address-chip-shortage-through-a-supply-chain-review.html</a></p> <p><a href="https://www.barrons.com/articles/giant-fund-bought-ev-stocks-nio-tesla-intel-sold-ge-51613755670">https://www.barrons.com/articles/giant-fund-bought-ev-stocks-nio-tesla-intel-sold-ge-51613755670</a></p> <p>Positions Disclosure: I currently hold 300 shares of $INTC and 4C $100 strike EXP 1/21/22</p> <p>Disclaimer: The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a duly licensed professional for investment advice.</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/Lmitation"> /u/Lmitation </a> <br/> <span><a href="https://www.reddit.com/r/investing/comments/lsr7k9/i_believe_intc_intel_will_be_the_greatest_value/">[link]</a></span> <span><a href="https://www.reddit.com/r/investing/comments/lsr7k9/i_believe_intc_intel_will_be_the_greatest_value/">[comments]</a></span>Kind Regards R
<!-- SC_OFF --><div class="md"><p>DD: I believe $INTC (Intel) will be the greatest value play in this year.</p> <p>Key points:</p> <ul> <li> Extremely undervalued P/E ratio of only 12.37x</li> <li> Industry competitors P/E ratio AMD: 40.88x</li> <li> Industry competitor P/E ratio 2 NVDA: 79.67x</li> <li> Fair evaluation of P/E means to match AMD's PE ratio INTC should be sitting around $200/share.</li> <li> Although Intel has missed its progression on nm competition vs AMD and NVDA, Intel is entering the GPU market and also remains one of the largest market caps in the industry.</li> <li> Biden recently formally requested a supply chain review to become more independent from Chinese suppliers for the semiconductor industry, which both AMD and NVDA heavily rely on, but INTC is producing everything in house.</li> </ul> <p>Current assessment of INTC is all bearish, which means you can get the stock at a heavy discount. INTC won't stay behind forever as nm tech progression isn't linear, it becomes harder and harder to progress to the next nm phase, and INTC owning its own supply chain is a significant industry advantage. Although AMD and NVDA is currently ahead in the nm processes, they do not own their own proprietary chips or processes, while INTC does. This puts INTC at a huge strategic advantage to boost up the US supply chain for chip supply, in the future for both CPU AND GPU. NOT just CPU. If INTC becomes fairly valued at industry PE ratios of their competitors of even just AMD, then fair value INTC stock price should hit near $200 per share levels. Currently INTC sits at around ~$60/share. Intel entering the GPU market will add significant value for the stock in addition to its strong internal supply chain in the US.</p> <p><a href="https://www.cnbc.com/2021/02/24/biden-signs-executive-order-to-address-chip-shortage-through-a-supply-chain-review.html">https://www.cnbc.com/2021/02/24/biden-signs-executive-order-to-address-chip-shortage-through-a-supply-chain-review.html</a></p> <p><a href="https://www.barrons.com/articles/giant-fund-bought-ev-stocks-nio-tesla-intel-sold-ge-51613755670">https://www.barrons.com/articles/giant-fund-bought-ev-stocks-nio-tesla-intel-sold-ge-51613755670</a></p> <p>Positions Disclosure: I currently hold 300 shares of $INTC and 4C $100 strike EXP 1/21/22</p> <p>Disclaimer: The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a duly licensed professional for investment advice.</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/Lmitation"> /u/Lmitation </a> <br/> <span><a href="https://www.reddit.com/r/investing/comments/lsr7k9/i_believe_intc_intel_will_be_the_greatest_value/">[link]</a></span> <span><a href="https://www.reddit.com/r/investing/comments/lsr7k9/i_believe_intc_intel_will_be_the_greatest_value/">[comments]</a></span>Kind Regards R