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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: Home-Run who wrote (58278)	6/18/1998 8:45:00 PM
From: Paul Fiondella	Read Replies (1) \| Respond to of 186894

Why so pessimistic you ask We currently are seeing a decline in demand for semi-conductor related products. (I just got 32MB of memory for free just for walking in the store and filling out a coupon!!!) In Intel's case, a not very well diversified microprocessor manufacturer, various reasons such as not having enough of the right products to sell are used to account for a slowdown which is generally discounted on this thread as not very significant. However in the next general economic slowdown (a recession) in the US unlike in previous ones (most notably Reagan era) there will be plenty of computers and excess computer capacity. Think of the PC as having reached the stage of the automobile in previous recessions. People stop buying. What you have seen so far in Intel's share price is nothing compared to what will happen to Intel in any US recession. That's not being a pessimist just a realist --- unless the business cycle has been repealed, Intel a producer of commodities will get caught with excess inventory and shrinking markets for its products in the next recession, when that recession arrives. =============== PS. How can you be a Merced Trader with no Merceds to trade? Okay maybe I am pessimistic and it has something to do with the lack of a rally today, the fact the Intel couldn't break 70!!! and the time I'm killing until Win98 can produce a Summer rally.