I agree it doesn't make sense. INTC is a victim of their own circumstances, the announcement of the CEO leaving in May and no announcement of Paul's successor is a big negative. The last qtr. conference call didn't do any help either. We were at 23/share after hours until Paul and Stacy threw cold water on what was a very good result considering the slowdown of PC's. They continue to increase Capex and don't explain why, all they have to do is say if the 86 processor falls on its face, we have a license to manufacture ARM processors and we will. That alone would give us a PE equal to TSMC. The big boys would have a hard time keeping both down, especially with INTC 2 process nodes ahead of TSMC.
INTC earns double what TSM earns. INTC pays out double what TSM pays. Wall Street gives TSM the same market cap as INTC. TSM is just a foundry with no technology. It makes no sense. Only time will tell.