Intel’s 17% Plunge Reminds Investors: Stocks Don’t Move in Straight Lines

Shernice軒嬣 2000
01-24 08:09

$Intel(INTC)$   plunged 17% intraday, clawed back to close around $45 — still ended the day in tears. 

Market took my haircut money — long hair it is for CNY, no way I’m paying the seasonal markup.

IT'S CRAZY HOW QUICKLY INTEL SHIFTED THAT BALANCE SHEET.

Just 2 quarters ago, Intel had more than 2X Debt vs Cash, now it's getting closer (not there yet though) to a 1:1 Ratio.

TAN Lip-Bu  has focused on not overinvesting in CAPEX until customers are lined up. The improvement also includes investments from big players like $NVDA.

Short-dated options are obliterated (-95%+), LEAPS down ~40%.

Intel is the textbook reminder that stocks don’t move in a straight line (unless it’s $SanDisk Corp.(SNDK)$  ). Despite the carnage, it’s still up 26% over the past month.

If the core thesis hasn’t changed — long-term White House policy, national security, domestic fabs — the best move is probably to let the story play out.

Same logic applies elsewhere:

$AXT Inc(AXTI)$   — InP bottleneck potential playing out over the next few months

$Vishay Precision(VPG)$  — Optimus ramp is a 12-month story, not a 12-day one

Market timing is brutal. Thought the last AXTI sell-off was the bottom — it dumped 4.5%, bounced to +2%, then closed down 2.9%. A full week of straight selling. Price is noise. Time is the most valuable asset

@TigerObserver  @TigerStars  @Daily_Discussion  @Tiger_comments  @TigerPM  

Modified in.01-24 11:26
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