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Technology Stocks : INTC
INTC 40.56+10.3%Nov 28 12:59 PM EST

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To: Kevin S. Oost who wrote (292)4/19/1997 10:40:00 PM
From: greenspirit   of 990
 
Kevin, you make some good points, but I have to disagree with you on this one. The growth rate of Intel will primarily depend on the overrall growth rate of PC's and servers. With the Chinese, and Indian market looking very strong for the forseeable future as well as the U.S. corporate cycle still booming I see no reason they can't grow 20-25% per year for the next 3 years. Granted that is a bit slower than the last 3 years but still a very strong pace.

AMD it would appear has a formidable chip. But can they keep pace with the relentless Intel engineer's who just keep upping the ante. Remember that in a manufacturing industry like this, economies of scale can give you tremendous flexibility.

Why are they buying back some shares? Since they are going to split their shares, the management of Intel probably figures that when you are sitting on a ton of cash, buying back your shares simply makes sense.

Regards, Michael
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