Since April 16 earnings for Intel, their stock has gone up 9.5%.
Dow has gone up 1.5%
S&P has gone up 2.5%.
Nasdaq has gone up 3.5%.
The other part of the "PC is dead" duo is Microsoft.
So if the PC is really dying, why are they up 15.5% ?
Indicating that Intel has more room to rise if they were only
dependent on the Wintel duopoly. But Intel is not. Android
is becoming more and more on Intel's side as well.
TXN is up 3.5%.
HPQ is down 1.7%.
Cisco, Lucy's favorite is down 1.5%.
I state these stocks just to show that interest is building up better in Intel stock recently relative to other major tech names. So some rotation may be happenning here plus Intel is the best paying dividend and the safest one, except for Cisco.
Now for the ARM camp.
Nvdia is up 6.7%.
Apple is up 5.4%.
QCOM is DOWN 3.1%.
The biggest part of ARM other than Apple is actually down since Intel reported its latest earnings.
At the same time, ARMH is up a whopping 21%.
Now, Arm Holdings may have beat earnings expectations recently, but expectations don't really justify the multiples it's trading at already. But more importantly, its base is showing considerable weakness lately in relation to Intel stock.
So clearly, the 21% rise does not make much sense.
If investors have so much confidence in ARM stock, they should have almost similar confidence in the much lower PE major customer base of ARM.
Things certainly don't add up in the ARM camp at this time.
ARM should be considered to be overbought at this time.
While Intel stock has much more room to rise, once they start showing more of the cards in their deck.