Intel (INTC)

They missed a few of their objectives recently. They have a very difficult fight with the industry coming up. They need to move to be very competitive against NVDA-Q. There is going to be a very real battle with China over semiconductors. It will be an important and critical industry over the next few years. NVDA-Q would interest him more.

Looks cheap and still owns some, but not adding. Losing market share to AMD in particular. He prefers the semiconductor ETF, SMH, as a way to play the group at a more reasonable valuation.

Decent dividend at 2.66%. But the dividend is not why you buy a tech company. Not expensive at 11x earnings, with a 6-7% growth rate. A share buyback will help the EPS, but doesn't help the business itself. Only a 5-10% revenue growth rate at most. Mature names tend to have slowing growth. Instead, look at names like Nvidia, AMD or TXN. Technically, below the 200 day MA, which is rolling over.

Qualcomm vs. Intel QCOM holds the patent on the entire cell phone system. They have settled suits with China and Apple and are getting big payments. The stock has moved up nicely. 5G will be a boon for them globally. QCOM will continue to rise. Intel used to be the big leader in microchips until peers have overtaken them. But Intel will catch up, and the stock is now cheaply valued and pays a decent dividend. QCOM is for growth and Intel is a turnaround story. You can buy both.

Product is being pushed back, whereas Nvidia had good numbers. Good chance to buy it here. Semis will become an important part of how the US protects its technology, so you want to own some of these companies. They'll become strategic assets, as companies will want control over their production.

INTC vs. NVDA Nvdia does graphic processing. Took money off the table. Has now overtaken Intel in market cap. In e-commerce, data is everything, and this is where the chip makers contribute in three areas: memory, CPUs, and graphic processing units. Likes Intel, as it's hard to find value. Great breadth and depth of different kinds of chips. Trading at PE of 9x. AMD is trading at 163x, and Nvidia is trading at over 90x.

He has held it before but has been disappointed by the results and production delays. The market is pricing in the loss of market share to AMD. They are ingrained in the PC and server side. The stock is undervalued but he would prefer AMD.

He doesn't hold any chip makers, and he feels he has missed out. He would stay away from Intel and it has gone nowhere recently. He prefers NVIDIA or AMD.

The semis have led the rally. There's short-term risk, and Intel has been struggling lately. He'd prefer AMD and Taiwan Semi. 5G is just starting and has a lot of growth for years to come.

INTC has always been a top pick for him. They are losing the contract with Apple, because the company will begin making their own chips. It will not have a massive impact on their bottom line. They do not own INTC right now. As the earnings have been cyclical, he is waiting for a pullback. It has a bullet proof balance sheet.