INTC Mar 2020 49.000 call

OPR - OPR Delayed Price. Currency in USD
+0.10 (+1.96%)
As of 11:09AM EDT. Market open.
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Previous Close5.80
Expire Date2020-03-20
Day's Range5.20 - 5.20
Contract RangeN/A
Open Interest1.24k
  • Technical Research: Where is Market Breadth? (AXP, INTC)
    Yahoo Finance

    Technical Research: Where is Market Breadth? (AXP, INTC)

    Market breadth remains supportive of all-time highs (ATHs) in major and minor stock indices. Bullishly, breadth for the majority of indices continues to lead price, as has been the case since the secular bull market began in 2009. Indeed, the average stock just doesn’t seem to care about negative headlines. How stocks react to good and bad news is a pretty good tell -- and right now, the market is simply ignoring a tough news flow. The S&P 500 (SPY) and the S&P 400 MidCap (MDY) advance/decline (AD) lines both moved to ATH’s last week. The NYSE common stock only and the S&P 600 AD lines are very close to ATH’s. At the same time, the S&P 400 remains almost 4% from its ATH from September 2018, and the S&P 600 is a remarkable 13% from its August 2018 ATH. As we have said, it’s hard to get too bearish with this underlying strength.

  • Intel (INTC) to Post Q3 Earnings: CCG, DCG & PSG in Spotlight

    Intel (INTC) to Post Q3 Earnings: CCG, DCG & PSG in Spotlight

    Intel (INTC) Q3 results are expected to have benefited from improvement in PSG, IoTG and Mobileye segments. However, decline in CCG, DCG and NSG is anticipated to have affected in the Q3 results.

  • Corning Partners Intel for In-Building Network Solutions

    Corning Partners Intel for In-Building Network Solutions

    The strategic alliance combines Corning's (GLW) wireless connectivity portfolio and Intel's cutting-edge technologies to boost the availability of 5G in buildings.

  • What Lies in Store for Semiconductor ETFs in Q3 Earnings?

    What Lies in Store for Semiconductor ETFs in Q3 Earnings?

    As most companies in this space have seen no negative earnings estimate revisions, semiconductor ETFs might continue to see smooth trading in the weeks ahead.

  • Intel earnings: Even with PC surge, chip market rebound seems far off

    Intel earnings: Even with PC surge, chip market rebound seems far off

    Intel Corp. is saddled with expectations to lead a hoped-for turnaround in the semiconductor market, but even unexpected growth in personal-computer sales are unlikely to show that a rebound has begun.

  • Financial Times

    FirstFT: Today’s top stories

    Four people briefed on the plan told the Financial Times they expected WeWork’s board to meet on Tuesday to review the proposal, which would leave Mr Neumann with less than 10 per cent of the shares and voting rights at the company he once dominated. Marcelo Claure, SoftBank’s chief operating officer, would become chairman. SoftBank will emerge with between 60 per cent and 80 per cent of WeWork’s equity under the package, which involves $5bn of new debt, injecting $1.5bn in previously promised equity and an offer to buy up to $3bn of existing shares.

  • Bull Of The Day: Taiwan Semiconductor Manufacturer Company (TSM)

    Bull Of The Day: Taiwan Semiconductor Manufacturer Company (TSM)

    Bull Of The Day: Taiwan Semiconductor Manufacturer Company (TSM)

  • Global Tech Fund Manager Bets on Samsung Over Apple and Alphabet

    Global Tech Fund Manager Bets on Samsung Over Apple and Alphabet

    (Bloomberg) -- A top-performing global technology fund manager has raised bets on Samsung Electronics Co., making the stock the number one holding in his portfolio, ahead of Apple Inc. or Alphabet Inc.Hyunho Sohn, portfolio manager at FIL Investment Management whose Fidelity Global Technology fund runs about $4.8 billion of assets, said he has been adding positions in the world’s largest memory-chip maker since late 2018. He interpreted the sharp plunge in Samsung’s share price toward the end of that year as an opportunity, and he believes in the long-term growth of the tech giant.“If you ask me why I bought the stock, while the chip cycle was experiencing a downturn, I’d say I have faith in its fundamentals from a long-term perspective,” Sohn said in a telephone interview from London. “Samsung is a typical example of my strategy, which is buying an undervalued stock that the market participants hate temporarily.”Read about Bloomberg Intelligence’s take on the global chip sector hereHis fund, which holds about 60 global technology stocks, has beaten 98% of its peers with an annualized return of about 20% over the past five years, according to Bloomberg-compiled data. The fund’s top five holdings also include Alphabet, Apple, Intel Corp., and Microsoft Corp.The potential growth in demand for memory chips is apparent in the growing needs of cloud storage and service providers alongside the artificial intelligence industry that needs data storage, he said, adding he is also watching the development of 5G networks, which may drive demand for memory chips. Compared with global tech stocks, valuations of Samsung are “still attractive,” he added.Read more: Samsung’s Stock Is Signaling a Bottom for the Global Chip MarketAlthough Samsung’s forward price-to-earnings ratio of 12.6 times is not cheap compared with its historical average, it still lags Micron Technology Inc.’s 14.7 times and Taiwan Semiconductor Manufacturing Company’s 18.6. On forward price-to-book terms, Samsung is trading at 1.2 times, lower than almost all of its peers.Shares of Samsung have risen about 30% this year as overseas investors bought net 4.3 trillion won ($3.6 billion) of shares, the most sought-after stock on Korea’s KOSPI benchmark this year.Read more: TSMC’s $15 Billion Splurge Galvanizes Hope of 5G-Led ReboundTo be sure, it’s not all rosy for the memory chip sector. Micron, the third-largest player in the industry, released disappointing sales forecasts last month. And Samsung’s third-quarter preliminary earnings guidance announced earlier this month is less than half of its operating profits a year earlier. Chip prices have also been mixed. Contract prices for 32-gigabyte DRAM server modules fell 13.8% in the third quarter from the previous three-month period, while those for 128-gigabit MLC NAND flash memory chips rose 12.3%, according to inSpectrum Tech Inc.“I know we don’t see clear signs of recovery in the memory chip industry yet,” Sohn said. “But for me, based on valuations, long-term growth potential, and balance sheet metrics like free cash flow, Samsung is a stock that I am comfortable with having large positions in. I still see an upside for the stock.”(Adds Sohn’s comment on 5G in paragraph after the first chart)To contact the reporter on this story: Heejin Kim in Seoul at hkim579@bloomberg.netTo contact the editors responsible for this story: Lianting Tu at, Vlad SavovFor more articles like this, please visit us at©2019 Bloomberg L.P.

  • The CEO of this robo-taxi company believes it has the inside track on rivals

    The CEO of this robo-taxi company believes it has the inside track on rivals

    The Silicon Valley company has been steeped in secrecy for most of its five years of existence. Few have seen its electric car, described in a Bloomberg report as a “carlike robot about the size and shape of a Mini Cooper.”

  • Bloomberg

    Five Months After Huawei Export Ban, U.S. Companies Are Confused

    (Bloomberg) -- Terms of Trade is a daily newsletter that untangles a world embroiled in trade wars. Sign up here. Five months after the Trump administration blacklisted China’s Huawei Technologies Co., its business seems alive and well while American firms still don’t know whether they can work with the Chinese company or not.The Department of Commerce in May added Huawei to what’s known as the entity list in an effort to block U.S. companies from selling components to China’s largest technology company, which it accuses of being a threat to America’s national security. Huawei has denied those claims.Despite those actions, Huawei reported last week that its revenue grew 24% in the first ninth months of 2019, boosted by a 26% jump in smartphone shipments. There are also signs that U.S. efforts to block the company from the development of 5G technology have yet to make a big dent: Huawei said it has signed more than 60 5G commercial contracts to date worldwide.LicensesThe entity listing, which requires American firms to obtain a government license in order to sell to blacklisted firms, has caused complications for U.S. companies.Tech leaders and their lawyers have argued for months in closed-door meetings with Trump administration officials that the blacklisting of Huawei, one of their biggest customers, is detrimental to their businesses. Many industry executives are confused about the administration’s end goals and haven’t been able to get clarity on when license approvals will be offered despite those discussions, according to several people familiar with the matter.President Donald Trump said in June after meeting with Chinese President Xi Jinping in Osaka that he’d “easily’’ agreed to allow American firms to continue certain exports to Huawei. Weeks later Trump said he’d accelerate the approval process for licenses but none have been granted so far. The president as recently as this month green-lit the approval of licenses in a meeting with advisers, according to people familiar with the matter, but an announcement has yet to be made.The Commerce Department, in a statement, said it has received more than 200 license requests about Huawei and its affiliates. “Given the complexity of the matter, the interagency process is ongoing to ensure we correctly identified which licenses were safe to approve,” according to the statement. “Moreover, the Temporary General License remains in effect and was recently renewed.”Sales ImpactMicron Technology Inc.’s Chief Executive Officer Sanjay Mehrotra said in September that the lack of decision on its license applications could result in a worsening decline in sales over the coming quarters. The company gave a disappointing quarterly profit forecast last month, pointing in part to the Huawei restrictions. Broadcom Inc. in June also slashed its annual forecast, citing the U.S.-China trade war and disruption to its relationship with Huawei.One of the industry’s main arguments for allowing shipments of non-national security sensitive items is that Huawei can buy some of those components from competitors around the world, including South Korea, Japan and Taiwan.“Unless the ban succeeds in ‘killing’ Huawei, the result will be reduced U.S. global market share in a number of technology areas, something that will hurt, not help U.S. tech competitiveness,’’ said Robert Atkinson, president of ITIF, a Washington-based think tank.WorkaroundsSome firms have resumed shipments to Huawei even without a verdict on license requests. After a closer look at the rules since May, they determined they could continue supplying products based on an export control law. The rule doesn’t subject a product or service to the entity listing’s constraints if a company can prove that a piece of technology owes less than 25% of its origins to U.S.-based activities.Micron in June said it had resumed some memory chip shipments to Huawei. Intel Corp., the U.S.’s biggest chipmaker with plants in Oregon, New Mexico and Arizona, has as well. The company also has facilities in Ireland, Israel and China -- enabling it to argue that a chunk of the intellectual property in its chips isn’t created in the U.S.“We know many U.S. companies continue to ship to Huawei but do so using murky workarounds by way of other countries and third parties,’’ said Samm Sacks, a cybersecurity fellow at New America, a think tank. “It’s questionable whether the Huawei ban has helped U.S. national security so much as created a messy tangle of new problems.’’James McGregor, chairman of consulting firm APCO Worldwide’s greater China region, said he’s focused on what unintended consequences may result from the White House’s actions.“I’m worried about tech companies decoupling from America over time by removing some of their operations from the U.S.," McGregor said in an interview with Bloomberg Television Monday. “They have to look out for the long-term disruption of their business.”Atkinson cautioned not to over-interpret Huawei’s sales figures because the company has been stockpiling supplies for a while, in anticipation of the U.S. action. He said fourth quarter sales will be a more accurate indicator of the export ban’s impact, or whether the company has largely circumvented it.Huawei has said it expects U.S. export restrictions to reduce annual revenue at its consumer devices business by about $10 billion, in part because Google can no longer supply Android updates and apps from Gmail to Maps for the Chinese company’s newest handsets.U.S.-China DealTrump has indicated on various occasions that he’d be willing to consider removing the ban on Huawei for better terms in a trade agreement, drawing sharp criticism from China hawks on Capitol Hill.With the U.S. reaching a “phase one’’ deal with China earlier this month, the big question now is whether Trump will consider removing Huawei from the entity list or ease restrictions. When announcing the accord on Oct. 11, the administration said the issue wouldn’t be part of this initial pact but that it could be a part of phase two.(Updates with comments from McGregor.)To contact the reporters on this story: Jenny Leonard in Washington at;Ian King in San Francisco at ianking@bloomberg.netTo contact the editors responsible for this story: Margaret Collins at, Brendan MurrayFor more articles like this, please visit us at©2019 Bloomberg L.P.


    AMD Has Surged This Year. Why One Analyst Says to Buy the Dips.

    Advanced Micro Devices has done an admirable job of building a competitive chip lineup with a smaller amount of investment spending, according to Morgan Stanley.

  • AMD Stock Could Rise on Expected Market Share Gains

    AMD Stock Could Rise on Expected Market Share Gains

    AMD shares moved higher after Morgan Stanley raised its price target by $2 and Merrill Lynch reiterated its Buy rating on the stock.


    Day Ahead :Top 3 Things to Watch – Here’s a preview of the top three things that could rock markets tomorrow.

  • Intel (INTC) to Report Q3 Earnings: What's in the Cards?

    Intel (INTC) to Report Q3 Earnings: What's in the Cards?

    Intel's (INTC) Q3 results are expected to reflect robust adoption of latest processors. However, sluggish data center demand and competition are likely to have negatively impacted Q3 performance.


    Chip Stocks Chalk up Gains on U.S.-China Trade Optimism – Throughout the months-long U.S.-Sino trade war, chip stocks have ebbed and flowed with the ups and downs of trade relations between the world's biggest economies. But with recent positive comments from both sides, chip stocks are in the ascendency ahead of aslew earnings from semis this week, including chip bellwether Texas Instruments (NASDAQ:TXN) due Tuesday.

  • China Surveillance Giant Expects Client Losses From U.S. Ban

    China Surveillance Giant Expects Client Losses From U.S. Ban

    (Bloomberg) -- Hangzhou Hikvision Digital Technology Co. warned it may lose customers in overseas markets because of its U.S. blacklisting, underscoring the extent to which curbs on the sale of American technology may hurt the world’s largest video surveillance business.Executives at the Chinese camera provider, which reported profit in line with estimates, said clients may hold off on purchases while they gauge the impact of those restrictions. But the company is large enough to withstand U.S. sanctions and develop its own technology in the longer term, they said. Its own home market remains a rich vein of revenue as the U.S. business shrinks, a trend that may persist, Huang Fanghong, a Hikvision senior vice president, said on a call Saturday. Its shares gained as much as 5.4% Monday -- the most in more than a month on an intraday basis.Hikvision found itself in the cross-hairs of the Trump administration this month after it joined other Chinese companies -- including Huawei Technologies Co. -- on an Entity List that prevents American firms from supplying it with components and software. The seller of video cameras used around the world in surveillance was accused of involvement in human rights violations against Muslim minorities in the far-western region of Xinjiang. On Monday, brokerages including Citigroup and CICC cut their projections on Hikvision’s 2020 earnings growth.“While management says they expect the worst is over, we believe some customers may have concerns on the impact of the Entity List,” Citigroup analysts wrote.Hikvision executives say they had anticipated the action and stockpiled enough key parts to keep operations going for some time. The company has also said it didn’t foresee major impact on its business as a result of the ban.In Huawei’s case, for instance, some suppliers including Intel Corp. and Micron Technology Inc. developed workaround solutions to the prohibition. Most of Hikvision’s American suppliers are continuing to do business with it, while abiding by export regulations and without the need for special licenses, according to Huang.“We have made a great deal of preparations, from a year ahead of the ban,” Huang said. “There’s no way for us to fully discuss the impact from the entity list in 10 days. We need more time to talk to our suppliers and customers. A steady component supply is key in this process, no matter if we decide to use original materials or a replacement design.”The U.S. decision, which came on the eve of sensitive trade negotiations, takes President Donald Trump’s economic war against China in a new direction: the first time his administration has cited human rights as a reason for action. It deals a potentially heavy long-term blow against Hikvision, which has steadily switched to Chinese-made components in recent years but still relies on the likes of Intel, ON Semiconductor Corp. and Texas Instruments Inc., particularly for higher-end chips.Still, as much as 80% of Hikvision’s sales are insulated from the U.S. ban, analysts Charles Shum and Simon Chan of Bloomberg Intelligence wrote in an Oct. 8 note.“Hikvision’s sales may continue to rise over the next year despite the Trump administration’s decision,” they wrote. “It can also source alternative parts, though with a weaker performance, from local suppliers in the medium term.”Hikvision reported Friday that net income grew 17% to 3.81 billion yuan ($538 million) in the September quarter, while revenue grew 23%. The company forecast growth of 5% to 20% in net income this year.Hikvision was added to the Entity List alongside SenseTime Group Ltd. and Megvii Technology Ltd., two giant enterprises Beijing is counting on to spearhead advances into a revolutionary technology. Hikvision doesn’t play as outsized a role in China’s ambitions but it’s a key partner to Beijing as well as governments around the world. Its cameras are used from Paris to Bangkok and Urumqi, and are considered pivotal to crime prevention as well as helping build “smart cities” or networked urban environments.Longer term, U.S. sanctions threaten to crimp some of the explosive growth Hikvision has managed this decade, in large part due to China’s effort to put in place the world’s largest surveillance and monitoring network. The company may find itself short of the components it needs to build advanced systems, unless Chinese chipmakers succeed in developing more advanced chips -- another of Beijing’s stated policy ambitions in tech.Thanks to cheap but capable cameras, the Chinese company has enjoyed double-digit growth over the past eight years. Demand for its surveillance cameras, video storage and data analysis services has boomed particularly in its home market. Overseas, the company competes against Canon, Hanwha Techwin and Bosch.(Updates with shares and analysts’ actions from the second paragraph)To contact Bloomberg News staff for this story: Gao Yuan in Beijing at ygao199@bloomberg.netTo contact the editors responsible for this story: Edwin Chan at, Colum MurphyFor more articles like this, please visit us at©2019 Bloomberg L.P.


    Corporate Tech Buyers Are Cutting Back. Here Are the Stocks Most At Risk.

    Enterprise tech has been a hot area for investors in recent years, but the theme works only as long as corporate buyers are paying up for the technology. Goldman Sachs’ September survey of technology sellers showed that demand trends from large corporations have “deteriorated markedly” across all industry verticals, compared with its June survey. “We are taking a more cautious view of enterprise spending and particularly large enterprise-exposed companies,” wrote analyst Rod Hall in Goldman’s report earlier this month.


    TSMC Topples Intel for the Chip Crown

    Taiwan Semiconductor now has a higher market capitalization than Intel. Unless “TSMC drops the ball,” Intel won’t close the process gap, says Bernstein’s Stacy Rasgon.

  • Thanks to 5G, Qualcomm Stock Can Enjoy a Slow and Steady Ride Higher

    Thanks to 5G, Qualcomm Stock Can Enjoy a Slow and Steady Ride Higher

    Over recent years, the Qualcomm (NASDAQ:QCOM) narrative has been dogged by various pressures and controversies. At first, Singapore-based Broadcom (NASDAQ:AVGO) proposed an aggressive $117 billion takeover bid for QCOM stock. But in a move that had bipartisan support, President Donald Trump axed the hostile takeover, citing national security concerns. That gave Broadcom little choice but to back down.Source: nikkimeel / The other pressing issue impacting Qualcomm stock was the underlying technology firm's legal battle with Apple (NASDAQ:AAPL). Notably, Apple had major grievances with Qualcomm's patent licensing practices. From its perspective, QCOM charged Apple royalty fees for technologies unrelated to the chipmaker.Famously, Apple CEO Tim Cook once quipped that Qualcomm's business practice was like "buying a sofa" from a company that charges "a different price depending upon the house that it goes into." On the other hand, Qualcomm accused Apple of using its patented tech free of charge.InvestorPlace - Stock Market News, Stock Advice & Trading TipsEither way, whether you're on team Qualcomm or team Apple, the bottom line was this: The bitter dispute didn't serve the longer-term case for QCOM stock or AAPL shares. While the former has the innovative prowess, the latter has the rabid fan base. This was a classic knife fight in which both sides were not going to get away unscathed. * The 7 Best Penny Stocks to Buy Fortunately, cooler heads prevailed, with both organizations squaring away their differences. From this new reality, I believe Qualcomm stock has a net positive pathway to steady upside gains.Clearly, the biggest distractions for QCOM stock have been eliminated. As InvestorPlaces's Chris Markoch stated recently, this is probably the beginning of the QCOM narrative. The 5G rollout will spark multiple revenue streams. 5G Opportunities Facilitate a "Slow Burn" for QCOM StockFirst and foremost, the settlement between Qualcomm and Apple creates growth opportunities for at least the next few years. As the leader in 5G modems, QCOM can fill a gap that has previously impeded Apple. Of course, this is a big positive for Qualcomm stock.However, this freshly restored relationship may change over time. In the backdrop of the legal battle, Apple looked to Intel (NASDAQ:INTC) to provide 5G modems. When that plan failed, Apple bought Intel's 5G modem business unit. It's going to take some time to catch up, but AAPL will eventually go in-house with its smartphone semiconductors.Luckily, the Apple business is just one component of the overall 5G picture for QCOM stock. Recently, Qualcomm revealed that it has partnerships with over 30 original equipment manufacturers to launch 5G fixed wireless access equipment. With a target time frame of next year, investors won't have to wait long to start seeing results.Utilizing Qualcomm's Snapdragon X55 5G Modem-RF System as a reference architecture, this 5G FWA equipment will facilitate home- and enterprise-level 5G internet service. What makes this FWA platform impressive is its modularity. Because it can accept "virtually any combination" of 5G spectrum and modes, telecom firms should be able to incorporate this tech into their existing 5G infrastructure.Granted, this might sound like granular nerd talk. However, the modularity of Qualcomm's FWA is crucial for Qualcomm stock. Contrary to what some might believe, the 5G rollout isn't a light switch. Instead, it's a gradual transition.Telecom firms must migrate the existing spectrum to accommodate 5G over time. During this transition, overlap between old and new tech will occur. That's why the FWA equipment's modularity is critical, which essentially provides a bridge for telecom networks. The Lingering Trade WarDespite Qualcomm's dominant presence in 5G and the opportunities that it presents, not everything is positive for QCOM stock. Most notably, the U.S.-China trade war presents a serious risk, not just to Qualcomm but the broader tech industry.In its most recent quarter, QCOM disappointed Wall Street with sour revenue figures. However, management didn't include licensing revenue with Huawei due to a royalties dispute. Moreover, the transition to 5G means less demand for 4G-related equipment.While the trade war may limit Qualcomm stock in the nearer term, ultimately, I see this situation as longer-term positive. I say this because for this particular circumstance, China needs Qualcomm more than Qualcomm needs China.As China and other emerging markets witness broader rises in consumer strength, they'll want the best. Thus, merely doing 5G as a technicality won't be enough. Clearly, QCOM is the 5G leader, which is why our international adversaries want to steal from it.As such, the trade war has exposed China's shady business practices while presenting American companies as virtuous victims. The drama may impact Qualcomm now, but again, in the long run, even geopolitics could be favorable to QCOM stock.As of this writing, Josh Enomoto did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * The 7 Best Penny Stocks to Buy * 7 Bank Stocks to Avoid Now at All Costs * The 10 Best Mutual Funds for Your 401k The post Thanks to 5G, Qualcomm Stock Can Enjoy a Slow and Steady Ride Higher appeared first on InvestorPlace.

  • AMD Stock: Long-Term Investment, Short-Term Trade

    AMD Stock: Long-Term Investment, Short-Term Trade

    Advanced Micro Devices (NASDAQ:AMD) continues to earn business as it becomes an increasingly competitive threat to its rivals. However, over the last year, traders appear to have priced in the company's increasing prominence. Consequently, AMD stock has formed a price ceiling that continues to hold.Source: Grzegorz Czapski / However, in recent weeks, the stock has fallen to the lower end of its range. Given this decline, investors may benefit from a possible trade, or with a little patience, open a long-term position. AMD Stock Falls as Company Wins New BusinessAMD scored another coup as Microsoft (NASDAQ:MSFT) agreed to use AMD's Ryzen 5 and Ryzen 7 chips in the Surface Laptop 3. This represents another victory over Intel (NASDAQ:INTC), the long-time rival that dominated AMD during the PC era.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Reasons to Buy Canopy Growth Stock These victories have also gained the attention of analysts. Sony (NYSE:SNE) will also use AMD chips in its soon-to-be-released PlayStation 5. This just attracted the attention of Citic Securities. It initiated coverage on AMD stock, giving it a "buy" recommendation and setting the one-year price target at $35 per share.Such wins bolster what our own Dana Blankenhorn refers to as the "legend" of Dr. Lisa Su. Still, despite this success, AMD stock continues its pattern of range-bound trading. After again approaching a mid-$30s per share high in July, it has seen a slow drop since that time. Investors should also note that Citic's $35 per share price target comes close to that ceiling.The good news here is that chartists may have a buy point. Although I do not share the negative sentiment of my colleague Josh Enomoto, I think he states correctly that the honeymoon for AMD stock has ended. Consequently, it has fallen below the 50-day moving average.However, the 200-day moving average has held for years. This average now stands at $27.45 per share, only about $1 per share below the current price of Advanced Micro Devices stock. Expect the Price Ceiling to HoldThis has begun to make AMD stock at least a trade. However, that does not mean that the mid-$30s per share price ceiling will break the next time it moves higher.Given the trajectory of the company, the ceiling cannot hold forever. The forward price-to-earnings (PE) ratio now stands at 28. That comes in slightly higher than the S&P 500 average of around 21.8.At current levels, I think the ceiling can hold. For one, companies like Intel and Nvidia (NASDAQ:NVDA) have begun to take AMD's competitive threats seriously. For this reason, the company must keep innovating, though AMD shows no signs of slowing down.Moreover, I think doubts about the performance of AMD's 7nm chips continue to linger. First came the charges that it could not consistently meet performance benchmarks. Now, production limits with its manufacturer, Taiwan Semiconductor (NYSE:TSM), have led to supply constraints.AMD remains ahead of Intel even with its issues. Also, I do not see any long-term damage to Advanced Micro Devices stock. However, it gives traders yet another reason to question the valuation of AMD stock if it again approaches the mid-$30s per share level. The Bottom Line on Advanced Micro Devices StockGiven the decline, AMD stock has become at least a trade. Thanks to a move back toward the lower end of its range, traders might find opportunity here. As mentioned before, the current AMD stock price stands at about $1 per share above the 200-day moving average. AMD has not fallen significantly below that level in 2019. If it fell to the 200-day moving average, traders have room for about 25% upside even if it again fails to breach the mid-$30s per share level.Current metrics and conditions indicate that it may not break through that upper limit for the foreseeable future. However, Wall Street estimates average growth of 35.81% per annum over the next five years. Hence, from a valuation and growth standpoint, AMD stock is a buy.If AMD does not move significantly higher soon, the falling PE will make that ceiling untenable. At that point, Advanced Micro Devices should shoot much higher.As of this writing, Will Healy did not hold a position in any of the aforementioned stocks. You can follow Will on Twitter at @HealyWriting. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Reasons to Buy Canopy Growth Stock * 7 Restaurant Stocks to Leave on Your Plate * 4 Turnaround Plays to Buy Now The post AMD Stock: Long-Term Investment, Short-Term Trade appeared first on InvestorPlace.

  • Market Realist

    Intel Stock Looks Good before Its Q3 Earnings

    Intel (INTC) stock fell 1.12% on Thursday and closed at $51.86. The stock was trading 13.0% below its 52-week high of $59.59.

  • Has Intel Stock Found a Catalyst?

    Has Intel Stock Found a Catalyst?

    About a week ago, things were looking much simpler for Intel (NASDAQ:INTC) stock bulls. On Oct. 11, the U.S. and China announced a partial deal in the ongoing trade war. This was welcome news for semiconductor stocks such as INTC that have been trading in a range.Source: dennizn / However, it quickly became apparent that the trade deal wasn't really a deal at all. It was more of a truce. Both sides made concessions. But there was no agreement on the issues that would make a difference for semiconductor stocks.This means current or prospective investors in INTC stock are back to trading on other news surrounding the stock. Fortunately for Intel, it has recently made a significant investment that may help change the current narrative.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Making a Big Bet on 5GOn Oct. 15, Intel announced an agreement to purchase a software business, Smart Edge, from Pivot Technology Solutions for $27 million. * The 7 Best Penny Stocks to Buy Smart Edge is software that focuses on "edge computing." Edge computing splits data and stores it closer to users, making computing devices respond faster. The software runs on Intel chips. This is allowing Intel to carve out a niche in the 5G space. This will be a critical opportunity to expand its revenue stream beyond its two large business segments of personal computers and data centers."We plan to take full advantage of our combined technologies and teams to accelerate the development of the edge computing market," Dan Rodriguez, a general manager of the network computer division in Intel's data center group, said in a statement. Why Did Intel Stock Drop?Intel stock was trading around $60 per share until it released first-quarter earnings. The company gave downward revenue guidance of $69 billion, which was $2 billion lower than analysts' estimates. Perhaps more concerning to investors is that if that revenue number held it would mark a decline a 2.5% decline in year-over-year revenue. In 2018, Intel posted revenue of $70.8 billion.But the stock lost nearly 25% of its value. Was this a disproportionate response? Perhaps. But what has to be concerning for investors is that INTC stock has attempted and failed to breach a crucial level of resistance at around $53 two separate times.The general consensus is that Intel stock is paying too steep of a price. However, there's a difference between what a stock should be doing and what it actually is doing. The problem for INTC stock has been a steady stream of news that is giving investors pause. Hampered By Production DelaysUnlike most semiconductor companies, Intel manufactures its own chips. This has been a strategic advantage for the company. But at the moment, it is proving to be an obstacle. The company has struggled in its transition from 14-nanometer chips to 10-nanometer chips. When Advanced Micro Devices (NASDAQ:AMD) introduced 7-nanometer chips, original equipment manufacturers became frustrated with Intel's chip shortage and started giving business to AMD. This has been one of many negative drags on the stock.AMD outsources its CPU production to dedicated foundries. One of those is TSMC (NYSE:TSM), which is now ahead of Intel in the manufacturing process. While Intel says it will resolve its 14-nanometer shortage during 2019, DigiTimes recently reported that the shortage may last until next year. INTC Stock Looks Undervalued at the MomentIntel is trading at price-earnings ratio of below 12 (11.88 as of this writing). That is significantly less than rivals Microsoft (NASDAQ:MSFT), AMD and Qualcomm (NASDAQ:QCOM). Those companies have PE ratios of 29.58, 93.66 and 21.20, respectively. But it's also significantly below its historical trading level of 15-times earnings or higher.If INTC stock were valued at 15 times earnings right now, it would have a stock price of approximately $64.50 per share. But it's not trading at that multiple. And analysts predict that INTC will post a decline in non-GAAP earnings for both Q3 and Q4 earnings on a YOY basis. This makes a case that INTC stock could be going down before it goes up.As of this writing, Chris Markoch did not have a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * The 7 Best Penny Stocks to Buy * 7 Bank Stocks to Avoid Now at All Costs * The 10 Best Mutual Funds for Your 401k The post Has Intel Stock Found a Catalyst? appeared first on InvestorPlace.

  • Intel Q3 2019 Earnings Preview: Will INTC Stock Climb?

    Intel Q3 2019 Earnings Preview: Will INTC Stock Climb?

    Intel stock has lagged far behind the broader semiconductor industry's 2019 climb. So let's take a look at what to expect from Intel's upcoming Q3 2019 earnings results to see if INTC stock might be set to pop...

  • TSMC Just Showed Its Chips Are Hot

    TSMC Just Showed Its Chips Are Hot

    (Bloomberg Opinion) -- Investors looking for signs that the worst is over for the chip sector would be pleased by what Taiwan Semiconductor Manufacturing Co. served up Thursday. All of its key earnings data point to a rebound in demand, and more importantly to pragmatic inventory management after a glut last year dragged down the entire industry. TSMC’s third-quarter net income beat estimates and its fourth-quarter revenue outlook came in at the top of analysts’ expectations. But the standout headline from the company’s investor conference was its decision to boost its capital expenditure this year by close to 40%. By the end of September it had already shelled out $9.4 billion of the “more than” $11 billion it had previously expected for the full year.That may seem like a brave wager, considering a deepening trade war on two fronts — between the U.S. and China, as well as Japan and South Korea — and President Donald Trump’s campaign against TSMC’s key client, Huawei Technologies Co. Just months ago, shoppers were eschewing futuristic gadgets and putting off smartphone upgrades. But TSMC has rarely made mistakes about how to spend its capex: This plan is not only bold but smart. The world’s biggest chipmaker plans to spend a record-breaking $14 billion to $15 billion this year on the leading-edge equipment it needs to manufacture chips for devices such as Apple Inc. iPhones and Huawei’s smartphones. The company turned more aggressive, CEO C.C. Wei explained, because it sees stronger-than-expected demand for next-generation manufacturing technologies. These chips will be used in smartphones, data centers, IoT devices (think Amazon Alexa) and even cars, he said. Wei said he’s confident that the higher spending will be justified by quicker revenue growth, especially with faster fifth-generation mobile networks and handsets ready to go mainstream in the coming year. Because of the technology involved, 5G networks require more base stations than an equivalent 4G rollout, which will further help semiconductor sales.What should really cheer investors, though, are the figures that often get overlooked, namely inventory. One of the biggest problems afflicting the sector a year ago was that companies — from Apple to PC-chipmaker Intel Corp. and iPhone assembler Foxconn Technology Group — all overshot the mark when it came to buying and building chips, only to be met with lackluster demand from consumers.TSMC’s inventory, measured in Taiwan dollars, fell by 8.2% in the September quarter, the biggest drop in more than two years. Days of inventory — another measure that tracks its stockpiles — dropped to 65 days, the lowest in 18 months. This shows that there’s a smaller risk that TSMC and its clients got ahead of themselves this time. Before celebrating a new dawn for the tech sector, there is a caveat. More sales for TSMC doesn’t necessarily mean more devices being sold to end consumers. That’s because smartphones are becoming even smarter, requiring more chips inside. High-end cameras, for example, require higher-resolution sensors, which in turn means more chips within a phone to manage the power, data and memory that such functionality requires. That said, investors looking for an excuse to jump back into tech shares got exactly what they needed from TSMC. If not signs of stronger demand, evidence of pragmatic inventory management makes it look like a safer sector to place a bet.To contact the author of this story: Tim Culpan at tculpan1@bloomberg.netTo contact the editor responsible for this story: Rachel Rosenthal at rrosenthal21@bloomberg.netThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Tim Culpan is a Bloomberg Opinion columnist covering technology. He previously covered technology for Bloomberg News.For more articles like this, please visit us at©2019 Bloomberg L.P.