SteveWatson
2022-04-12

$Intel(INTC)$ 2 big positive events coming up for INTC at any moment: CHIPs bill will subsidize $Billions for Intel fabs & Mobile Eye IPO which will give Intel CFO tens of Billions in cash.Intel has grown revenue for the past 5 years. Albeit the rate of growth is modest compared to other tech/semi companies. But we have to remember Intel’s revenue was $59 Billion in 2016, and $79 Billion last year. Much easier to throw numbers around of a smaller company and say 300% revenue growth yada, yada, yada…..if you grow $3 billion in revenue by 500%, that gives $15 Billion….still way less actual dollars going into the bank vs 33% revenue growth of a much larger number.Under new leadership, new roadmap, MobilEye and massive capacity increases, Intel will produce $125-$150 billion per year in revenue by 2025 and that might be light.Intel’s inability to grow wasn’t because they weren’t selling products that work and are still in demand, it was more about capacity maxed out. Even 14nm products were capacity constrained. What happens when Intel can produce double of whatever, and making other’s designs? Explosion of revenue growth.This is just my take on Intel as a long hold. I will continue to add every time I can under $60, watch the progress closely, and see where we are in 5 years

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Comments

  • GarethTan
    2022-04-19
    GarethTan
    we see the chips sector getting stronger now.
  • Samlunch
    2022-04-18
    Samlunch
    Only tailwind is the USA need to have homeground semicon industry for national security. Tsmc too fragile in taiwan
  • AnT
    2022-04-19
    AnT
    good review. it's definitely cheap for its current price
  • Kyesu
    2022-04-18
    Kyesu
    Read and thanks
  • Killme
    2022-04-19
    Killme
    Good read
  • IsleofSkye
    2022-04-19
    IsleofSkye
    Good insight
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