Hi Paul,
RE: "I sold some January $65 puts and will be buying more stock if Intel drops into the mid $60s."
I hope your Jan Puts turn out well. We know from the CC that demand is doing well.
Mani's article, i.e. "The drive current is increased by about 10 percent" is significant and will help in 2000. Good.
RE: "Just how bad can an investment be in the US's 3'rd most profitable company, pocketing $1.9 BILLION/quarter, selling at a P/E of around 30, with an investment portfolio currently worth at least $5 BILLION, with $8 or $9 BILLION in CASH in the bank, with FOUR 0.18 micron Wafer Fabs ( and a fifth on its way), with the major market share in Flash memory, 85% of the x86 CPU market, a fully functioning 64 bit advanced SERVER/WORKSTATION CPUs (ITanium) up and running and shipping to customers in sample/evaluation system quantities, a new IXP communications processor, a CDMA Cell Phone CPU supplier (DSP) under its belt, and an upcoming 600 MHz StrongARM processor ? Three years from now, Intel has a great chance to expand its already dominant microprocessor business, expand into the burgeoning Router/Switch/Communications business as the DOMINANT component supplier, and gain significant new market share in the enterprise server and Workstation CPU business where they now have near-zero market share. When everybody in the world shops and communicates and is entertained via the Internet, 85% of them will be doing this with an Intel CPU of one form or another as their main, direct communications engine."
Excellent post. This was a really good post.
RE: "Three years from now, I expect Intel to be a $50 Billion company with about $13 to $14 Billion in profits."
I underestimated how long it could take IA-64 to roll out to a wide base. I had been thinking it would start having an impact in 2001. So, I was thinking they had a chance to achieve this doubling of profits in ~2 years, but 3 is good too. Doubling profits implies the stock price could more than double.
Thanks,
Amy J |
