Intel Corporation (INTC) Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Intel Corporation (INTC)

INTC 45.51

+10.7%

Jan 9 3:59 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Amy J who wrote (178607)	7/14/2004 7:10:36 AM
From: robert b furman	Read Replies (2) of 186894

Hi Amy, I know this morning we'll have a knee jerk drop to Intel's numbers. I think at times like this all investors (Darn sure me)need a reality check. Last quarter Intel beat bottomline profits with midrange revenue AND POOR future vision.Did they not at that point bump margins up? From 50% to 62%. This quarter they hit earnings on missed revenue( .95 billion) annouced margins go back to last quarters previous thoughts AND BUMPS UP Q3 revenue to 8.6 - 9.2. Inventory is too high on a record unit sale of chip sets - Bryant blamed it on higher than expected yields.Further detail in the release indicates a crossover of 90nm fabs vs 130 nm fabs. Q3 will fetaure a crossover of total microprocessors regarding 90 nm vs 130nm. Yearend will feature "vast majority of all micrprocessors at 90nm. It appears to me that Intel is in uncharted waters relative to anyone else in accomplishing high 300mmfab yields.Of course the old 225% more chips per wafer might just be getting thrown out the window. If these fabs 300mm cost 2-3 billion and the wafer due to size increases and die shrinks creates so many more chips - could it be that the better equipment also redefines what high yield is as well? The juries out but if your excess inventory is the result of incresed yields on the same number of wafer starts - that's a high class worry to have. Bryant said Intel backed off on wafer starts in June - I suspect that is what triggered rumors of the market softening - which appears to be wrong. Instead the story appears to be an excellence in engineering efficiency - not bad but good. Last but not least they announce - start of production in Ireland's fab (their third 300mm 90 nm fab).They also announced a 2 billion dollar plan to expand that plant's clean room and transition it to 65nm.That beats 3 billion for another all new fab. O h yea and then they announce another 2 billion dollor conversion of it Arizona plant from 200 mm to 300mm and its initial use in 65nm. If excess inventory is the problem they sure seem to like the efficiencies they've learned.Looks like they're chasing hard toward efficiencies what else would you expect these guys are good and the market is going to discount it as bad problems. Good time to buy - If you liked it at 30 - you ought to love it at 25. OY yea - did I mention their profits were up 94 % year over year.(Q3 revenue 8.7 to 9.2 Billion ??? Time to bail out of this loser.GG Bob It all started as a reality check - I've checked and its a BUY ON THE DIP. This too shall pass

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next