Replies to post #127752 on Intel Corp (INTC)

[walbert]

Did I miss anything? I am a slow learner after all...

You can deny, distort it and whine about it all you want but the bottom line is negative cash flow is negative cash flow.

TSMC has had negative cash flow for all of the last 4 years after dividends.

Yes, they have some cash or they couldn't operate. They have cash because of borrowing - not because they are generating enough cash to cover their CapEx, R&D, and dividends. They aren't.

So, feel free to dress it up and spin it however you want. The executives at TSMC certainly understand their problem even if you continue to pretend it doesn't exist.

Do you have any skills other than marketing?

[Andy Grave]

* Diapers with Intel-inside are the future,
Did I miss anything? I am a slow learner after all...

.....yes you did.....that diaper costs about $150....gotta keep up those GMs......quite the expensive dump.....but with Intel-Inside ......perhaps it doesn't stink.

[borusa]

let's see if the dividend continues to trend lower

[Dmcq]

re: Did I miss anything? I am a slow learner after all...

Really the whole argument about free cash flow is irrelevant. As far as TSMC is concerned it all depends on whether there is a market for the product at a competitive price, if there is it will not have trouble with cash to develop the facilities even if it has to borrow some. The thing Intel can do about that is preferably produce some real competitive product, but it is probably having an effect on the price by proxy with its $2 billion of contra funding.

By the way I see there's a rumor Microsoft is also doing its own 'contra' funding for Windows phone.

http://bgr.com/2014/01/15/microsoft-windows-phone-partner-payments-samsung-sony/

At perhaps $2.5 billion is this getting to be a war of the contras? ;-)

[herb will]

"Gross Margin is a totally valid metric for comparing totally different businesses, even though it leaves out the bulk of Intel's costs."

Baloney! Gross Margins presentation in Financial Statements vary from company to company?
Are you not aware that the SEC requires audited financial statements that must adhere to GAAP "Generally Accepted Accounting Principles "? You think Intel and their auditors are in violation of GAAP?
I think we need to see more company's Q4s to get a better picture what is going on with the market? Apparently the smartphone market is also facing difficulties.
"MORE PAIN"
"The company, which has a 35 percent share of global smartphone sales, is getting squeezed by a “saturated” market for high-end handsets and smaller profits for cheaper models, Ahmad said."
http://www.taipeitimes.com/News/biz/archives/2014/01/15/2003581300/2
Let's see, AMD reports next Tues?