Intel Corp (INTC)

dietvanillacoke (33.71) Submitted: 2/20/08 1:15 PM : Start Price: $19.94 INTC Score: 7.22

Intel is poised to become the bully again. In the laptop space, they have been with their Core microarchitecture for some time now, and the continued popularity of Apple products here suggest this isn't changing. In the desktop space, they compete on price where they have to, but have nearly zero competition from AMD on the high end. If AMD doesn't get their act together quickly, the desktop space could become Intel and no competition. In the server space, AMD is still quite the imposing figure thanks to their smarter bus design. If Intel releases Nehalem on time and it delivers on promises, then this stock could really take off. Winning back business in the server market will pressure AMD even more, something that I'm not sure AMD can handle for any significant period of time.

All that being said, even if Intel grows at 15%, the stock is cheap. With the small dividend (appx 2.5% yield) and the good balance sheet, I see little risk for this stock with potential for big upside if the cards fall into place.

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