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Thursday, February 01, 2007 7:13:28 PM
Meanwhile Philip Durell, a senior investment analyst at Motley Fool, said that given the price war, the only way to invest that makes sense is with Intel.
The analyst said that when there's a battle between a duopoly, typically the company with the bigger muscles wins. AMD may command a technical lead with its chips for servers, but Intel's new products are good enough for most people, the analyst said, noting Intel's ability to cut costs.
Durell, who also thinks the price war will subside, said Intel's stock is poised to climb if the company's margins improve in 2007.
"We love companies that have compressed margins and a long history of success," said Durell. "There's a whole slew of value managers in Intel at the moment, it tells you something."
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