(09-21-2018, 11:20 AM)Otter Wrote:(09-21-2018, 10:08 AM)vbin Wrote:(09-20-2018, 04:06 PM)fenders53 Wrote:(09-20-2018, 01:42 PM)Otter Wrote: Initiated a small position in INTC.
Very solid company since forever. Give it some patience and average in and I think you'll be pleased. They failed to execute the latest chips and AMD stole their lunch money this year. I owned INTC for a long time and it was usually the other way around. I am confident INTC will be back on top soon enough. They are on my buy list but the BIZ is cyclical so not likely pulling the trigger for awhile.
INTC will have to fix their production line to fix the issues for new chip manufacturing, it will take them 2-3 years to do that. AMD is going to eat up more of their data center business. I am watching it too. It can present a better price to enter.
I will slowly add on the way down if that's the case. Curious to see what happens when they declare the March, 2019 dividend.
Average in SLOWLY and you will be fine. There will be a moment to go all in and wait for the up cycle. INTC is a fine company with sufficient resources to fix their problems. AMD put a whipping on them this year. The 800 pound gorilla is now embarrassed. You are only as good as the latest chip. They'll be back to recover some market share. I owned and followed INTC at least 20 years. Just wait until you get a market downturn and a chip or memory downcycle coincides. It can be really, really ugly. You'll want to sell out when you should be nibbling some shares. It's great INTC pays a DIV but it's NOT a mindlessly buy and hold forever DGI stock. If you don't gradually scrape profits when the cycle peaks you are a fool. You can often put it back in next year at 1/2 the share price or less. Seriously prepare yourself by looking back 20 years at INTC, AMD and MU charts. History doesn't always repeat itself but it often rhymes. Then invest slowly and don't lose your nerve. It's the only way to own chip stocks. Just a completely different animal than JNJ or KO. I would never advise anyone to dump there JNJ just because it looks a little expensive. I sure didn't.
Lecture over but I lived this chip cycle thing and didn't follow my own advice the first 5 years because I didn't live it yet.