11:53a ET December 19, 2014 (Benzinga) Print
Sales growth in the semiconductor industry will slow down next year by roughly a third but still expand by nearly 7 percent, an analyst said Friday.
The sector's low stock-price correlation to oil volatility, along with buybacks and dividends supported by strong cash flow, will help provide ongoing attraction to investors, Bank of America's Vivek Arya said.
In a wide-ranging sector review, Arya maintained a generally bullish outlook but warned that 2015 returns from the group will be lower than the average of 26 percent seen during the past year.
Moreover, market volatility in the sector will increase, driven by factors like a slowdown at Apple, swings in the energy market and an increasing imbalance between U.S. and foreign growth rates.
Certain stocks will get driven higher by a continued consolidation trend among the roughly 140 companies in the industry, as interest rates remain low and investors demand increasing scale to justify hefty research and development costs.
Related Link: Qualcomm Bucks Short Interest Trend In Semiconductor Stocks
Arya's six continued favorite stocks are heavily exposed to growth in either consumer markets, in cloud data centers or the automotive industry.
Among best bets related to mobile data, Arya cites Avago Technologies Ltd (NASDAQ: AVGO), Skyworks Solutions Inc (NASDAQ: SWKS) and RF Micro Devices, Inc. (NASDAQ: RFMD).
Top pick with data center exposure: Intel Corporation (NASDAQ: INTC), while for mobile transaction, chip-card security and automotives, Arya likes NXP Semiconductors NV (NASDAQ: NXPI).
For strong capital returns and consistent results, Arya cited Texas Instruments Incorporated (NASDAQ: TXN).
On his long list of stocks, Arya downgraded five, citing a lack of catalysts to drive their prices higher.
Downgrades to Underperform, from Neutral, included Maxim Integrated Products Inc. (NASDAQ:
Merrill Lynch has a Buy rating and gave its 2015 outlook for each of the following stocks:
Intel Corp. (NYSE: INTC) fits into this stock mix in the data center segment. Merrill Lynch has a price objective of $43, which implies an upside of 19% from Wednesday’s closing price, against a consensus analyst price target of $35.65. Shares were down less than 1% at $36.93 in the first hour of trading Friday, in a 52-week range of $23.50 to $37.90.
Read more: Merrill Lynch's Top Semiconductor Stock Picks for 2015 Include Intel (NASDAQ: INTC), RF Micro Devices (NASDAQ: RFMD), Texas Instruments (NASDAQ: TXN) - 24/7 Wall St.
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it started with a 12 million likely short. The fall is dramatically out of line with the rest of the markets and the semis etc. No news as yet, but their coukld be a Goldman or some other skeleton waitting to go "Boo"...
Don't underestimate his appeal to wannabe geek, nerds etc...
Sentiment: Strong Buy
Every thread has a jerk like him. For the most part he is amusing. There are stupid posters as well. I am beginning to think people like apology are fabricated by Yahoo to keep the boards getting hits. If they didn't care so much about getting "hits" they wouldn't allow so much spam.
They are busy decapitating children. Odd you would ask such a question in light of the recent horror.
INTEL already invested in Chinese companies. I believe they are on the inside. China = INTEL INSIDE.
Sentiment: Strong Buy
You are correct that there is options pressure to the downside hear. I also remember options pressure to the up side didn't help on the way down. I suppose if we knew we would all be winners. lol
I think the recent fall after the rise when they preannounced they would b numbers leaves some buying anticipation prior to earnings release. I also expect some large brokerages to upgrade or raise estimates soon,
Intel may have missed the boat on mobile, but it's making up for lost ground in this massive new market.
By Louis Navellier, Editor, Blue Chip Growth | Dec 18, 2014, 10:10 am EST
Good Article....look it up.
it didn't help, maybe hye should change that.
coincidence that the server articles and the Morgan Stanley reiteration of underweight came out at the same time. Morgan is allegedly Bullish of INTEL's server cycle....however they price it at 30.
Intel Receives AA Credit Rating (INTC)
December 16th, 2014 - 0 comments - Filed Under - by John Miller
Intel logoIntel (NASDAQ:INTC) has received an “AA” credit rating from Morningstar. The investment research firm’s “AA” rating indicates that the company is a very-low default risk. They also gave their stock a one star rating.
Other equities research analysts have also recently issued reports about the stock. Analysts at S&P Equity Research reiterated a “buy” rating on shares of Intel in a research note on Friday, November 21st. Separately, analysts at MKM Partners raised their price target on shares of Intel from $36.00 to $40.00 in a research note on Friday, November 21st. They now have a “neutral” rating on the stock. Finally, analysts at Topeka Capital Markets raised their price target on shares of Intel from $38.00 to $40.00 in a research note on Friday, November 21st. They now have a “buy” rating on the stock. Five research analysts have rated the stock with a sell rating, eleven have issued a hold rating, sixteen have issued a buy rating and one has assigned a strong buy rating to the stock. The company presently has an average rating of “Hold” and a consensus price target of $35.66.
Intel (NASDAQ:INTC) opened at 35.92 on Tuesday. Intel has a 1-year low of $23.50 and a 1-year high of $37.90. The stock has a 50-day moving average of $35.23 and a 200-day moving average of $33.31. The company has a market cap of $173.7 billion and a P/E ratio of 17.10. Intel also was the recipient of a significant decline in short interest during the month of November. As of November 28th, there was short interest totalling 164,753,317 shares, a decline of 9.2% from the November 14th total of 181,455,092 shares. Approximately 3.4% of the shares of the company are short sold. Based on an average daily trading volume, of 32,665,956 shares, the days-to-cover ratio is presently 5.0 days.
Intel (NASDAQ:INTC) last announced its earnings results on Tuesday, Oct
By The Fuse Joplin | December 12, 2014
Google Glass is set to launch a 2015 version sometime next year and the new feature that comes with this wearable computer is an Intel ×86 chip inside as opposed to the usual ARM chip that is the trademark of the current Glass Explorer Edition.
Google Glass first came into being back in 2012 and as it stands, this would be the first major revision of their hardware. Glass made sales in limited quantities back in 2013 and it seems they have big things in mind with the latest revision of Google Glass 2015. One thing that needs to be considered is definitely to boost the battery life and the general performance of the Glass. This can be backed by the dumping of the wimpy ARM chip for the Intel chip by Google’s wearable computing efforts.
The Current Edition of Google Glass
The Google Glass Explorer Edition first came into the market back in May at a price of around $1,500. This price is quite high considering the limited battery life this device has as well as the older processor it’s running on. Ideally, it is thought that the consumer version of Glass will require literally a whole-day of battery life and this can be a very huge problem considering the fact that carrying a large battery over an ear is very clumsy. Even though this version will come at a price of an average smartphone, such clumsiness will not be sought after.
One thing Google Glass could do with their future devices is include an in-built cellular connectivity rather than what is seen in the existing version of Google Glass where it is mandatory that the Glass be paired with a nearby smartphone using Bluetooth. However, this would again drain the battery life significantly.
Google Glass 2015 Version comes with Intel ×86 Chip Inside
According to the Wall Street Journal Report with respect to Google Glass 2015, Intel is set to supply the SoC in the latest version of Glass. It is yet to be known whether this would be in the consumer version of the wea
11-inch Lenovo Yoga 3 convertible on the way with Intel Core M inside
by Adrian Diaconescu on December 12, 2014 at 10:56 am
Sections: Computers, Laptops, Mobile Computers
Lenovo Yoga 3 ProIt’s been a fairly bumpy ride to market for Intel’s 14 nanometer Haswell die shrink, aka Broadwell, but at long last, Core M-based laptops and convertibles have started making their way to store shelves in the past few months.
Smaller, more energy-efficient but not necessarily zippier than Haswell predecessors, Broadwell chips allow PC manufacturers to ditch noisy, pesky fans and, as a direct consequence, also reduce the footprint of even the most powerful ultrabooks around.
Take Lenovo’s recently unveiled Yoga 3 Pro. At 13.3 inches, it barely weighs 2.6 pounds and is just as robust and versatile as previous generations, switching from tablet to laptop mode with ease in the blink of an eye.
Want something even easier to carry around? Gear up for the 11.6-inch Yoga 3 configuration, likely to debut at CES 2015 in January and roll out to end users by the end of the same month. The Windows 8.1 convertible should start at roughly #$%$599 on European shores, which will probably convert to $599 stateside.
That’s exactly half of the 13 incher’s lowest price, which obviously entails compromises. Namely, rumors say, the entry-level 11-inch config will pack 4 GB RAM, 128 GB solid state storage and a Core M-5Y10c processor.
#$%$200 and $200 extra respectively shall up the RAM ante to 8 gigs, and the SSD to 256, while another #$%$200 and $200 will supposedly swap the modest 5Y10c CPU for a beefier 5Y71 member of the Core M Broadwell family.
There’s no word on the little guy’s measurements and weight just yet, but we’re clearly in for record-setting numbers. You go, Lenovo.
sINTEL website or google article.