Replies to post #6909 on Intel Corp (INTC)

[RGood]

Common , Common , Common,

Geezie Weezie,

All your huffing and puffing -
good golly don't hurt yourself.
OK INTC has had a good run up.

So why aren't you spanking AMD?
A logical person could make a similar
argument about AMD. Thats assuming you and
DAN3 aren't joined at the hips.

Remember what I said earlier. Mark these words
- Put your money on the pony and let it run.
You are worrying about that P/E thing again.
Investors are following market trends.

Here follow this example: I bought INTC at around 15
in Feb 2003. I sold at 28.51 on 2nd week Aug 03. Thats
almost a twofer. This is how its done. Thats a hell
of return. I am not saying that you might not have been
able to do the same with AMD. Maybe you can do better with
AMD. And thats great - by all means go for it.

Wake up and smell the coffee. This stock will not trend
the way you want it to. It will trend the way the market
dictates. Pay attention to the trends and make some money.
Thats the objective.....

GET IT - you probably won't!

Ronster

[Tenchu]

COMMON, if you want to cite facts to back up your bearishness, you might want to make sure your facts are accurate.

INTC was trading between 52 and 63 in the month of May 2000:

http://table.finance.yahoo.com/d?a=4&b=1&c=2000&d=4&e=31&f=2000&g=d&s=in...

INTC EPS for the trailing twelve months was as follows (all split-adjusted):

Q1 2000: $0.44 ($0.39 including acquisition costs)
Q4 1999: $0.34 ($0.30 including acquisition costs)
Q3 1999: $0.28 ($0.21 including acquisition costs)
Q2 1999: $0.26
EPS (TTM as of May 2000): $1.32 ($1.16 including acquisition costs)

http://www.intel.com/pressroom/archive/releases/cn071399.htm

Sooooo ... INTC was trading as a TTM P/E ratio between 39 and 54, depending on how you munge the numbers.

Right now, INTC is trading at a TTM P/E ratio of 53.25. Overvalued? Perhaps, but you thought INTC was also overvalued at a P/E ratio of 45. And yes, even 35.

Tenchu

[fowler]

CS,

re: Or is there anything you could see that might just a smidgen suggest that there is a weaker company today compared to 2000?

In many (not all) ways, I would say that Intel is a stronger company today.

And it looks like we may be at the start of an up cycle. In May, 2000 we were just short of a peak in the cycle, and we know what happened next...

John