Paul:
Touche on your first point,...you didn't. Now was it implied? Probably not (g)
With respect to growth:
Unit growth is slowing. This is not a positive. It usually happens as saturation is approached.
Unit growth isn't revenue growth. Most computer-related companies have slyly moved to discussing unit growth these days, and for obvious reasons.
Revenue growth is declining in the discussed sector.
With respect to Intel's numbers, they were indeed at record levels for the quarter, but not so for the year. An anomaly either way? The long term trend in the numbers is negative. More important, the stock price has more than tripled from former days when both the actual numbers and the growth rate were superior. This is the worrisome point.
I've outlined my concerns about Intel's share price in past notes......no longer a monopoly, tough new competitors, loss of market share, saturation in the end PC product, massive plant capacity, high fixed costs. and deterioration in their numbers. These are not the things that normally drive stock prices ever upward.
Best, Earlie |
