OVTI has $200M free cash after subtracting debt and $1.6B in sales. OVTI market cap is 577M which puts it below book value. this is too low relative to its leading position in major growth markets and future opportunities. Value 20 something
Intel has been struggling with their mobile strategy --- getting their lunch eaten by QCOM for years, as well as by Mediatek in Taiwan more recently. Intel claims they now have some better mobile processing chips ready to roll, (although I seriously doubt any of them beat Qualcomm Snapdragon 800 on an honest benchmark test). Nonetheless, considering that Omnivision "shipped to all major tier 1 and tier 2 Chinese brand names in China" last quarter according to cc, and considering that China is where the significant growth in mobile is ocurring, Omnivision indeed would be a sensible purchase for Intel.