Next to HWP, my largest REAL (sell) gains in 1995 have been INTC.
I hold it in both a very active IRA account and also in a personal
trading account.
I'm holding a good position in the IRA with an average price of
$59.83 and no blocks held longer than from November. In the trading
account, I have a higher average of $66.03, which equates to a
paper gain of only 7.72%, based on Friday's close.
I tend to believe, as you, that the potential is there for an
eventual 100 buck price, as mentioned by Bond, the black principle
in the Bond and ?? firm. He and others feel that INTC is sort of
a sleeping giant. The big question is when?
I'd tend to bet on the surge of sales after NT 4.0 hits the streets,
and with the DRAM prices where they are, that will drive the
transitional costs down. Also, the stats on just how many 486 boxes
are out there, adds fuel to the plan.
While AMD is futtzing around with 120 chips, and Cyrix is fishing
around with hybrid stuff, NOBODY will touch the "old" Pentium, and
the Pro is not even a consideration, in my thinking. INTC has enough
amortization of their Pentium assets that they can almost corner
that market, just with inventory. Further price drops will merely
add to market share and they can make it up in sales bucks. That's
working for CPQ and will work for HWP.
Add in the potential of their new MB, MB chip sets, possible cable
modems, and it looks rosey. Is it too rosey? |
