I think my reading of the situation is this: OK, everybody knows that time is now very difficult, all companies are facing slower growth and some smaller companies will even fail under such environment. But Intel, being so cash rich and dominant, will keep on investing and when the environment turns, it will be among the first to benefit. Smaller companies, due to lack of investment, will lag further behind.
Mang,
I think you are right....its pretty clear that the markets think Intel has bottomed. What's confusing is this rally today....it makes it look like everything is back to normal, or back to Winter, 2000; that Intel and the others will climb right back up to their old highs....in two weeks. However, like you said, its going to take some time.
Nonetheless, a good time to buy if you are willing to hold for a while.
ted |
