investing in intel right now? good or bad idea?

hans007

Lifer
Feb 1, 2000
20,212
18
81
ok, i saved up like $10k from selling laptops for the past few months. I'm thinking about investing in intel.

pros:
300mm wafers , make p4's 10% smaller and cheaper
micronpc, gateway, and ibm have all dumped AMD as a CPU supplier
sony basically has dumped them outside of 2 laptops models.
ddr chipsets helping sway manufacturers back to intel
p4 laptops should prop up laptop CPU asps.
dell announced today, that they only expect 2% drop in sales, vs 3 to 5%
intel is winning mhz war with estimated 3ghz by end of 2000, unlikely to be matched by AMD in performance soon especially with 533 bus cpus soon and amd officially going to 333 bus not for a while.
people are still buying intels over AMDs
support level at $29.50 a share
yamhill at least a backup plan
its possible this is a good time to buy, if market is artificially low due to middle east instability
a bunch of brokerages upgraded them lately

cons:
hammer chips
some sort of summer lull in CPU buying
the stock market sucks
AMD might somehow have something up its sleeve
something else i dont know. This is where you come in.


Anyways, if any like experience stock investors wanna try and help me with this decision, i'd like to have some good points before the april 16th earnings announcement . im pretty sure i wanna invest at least some money into intel.
also if anyone else has some good stock picks for me to diversify into, i'm open to suggestions. And no i will not buy AMD, they have been trending downward for the past 3 months, and its not looking good till at least hammer.
 
Feb 24, 2001
14,513
4
81
Well what are you trying to do? Quick cash or long term gains? If you are looking long term, there is absolutely no reason not to invest in Intel. Short-term? I dunno, I won't make that call as I'm not into that.

I have them for over a decade now and I don't see how things could go wrong. They are just too big. Same goes for Microsoft.

Intel holds just under 80% of the market now, and even if it drops, they are still selling a sh!tload of stuff. I don't see a reason not to get AMD if you are going long term. Not enough CPU makers to really kill either one.

That's just me though :)
 

hans007

Lifer
Feb 1, 2000
20,212
18
81
im not thinking really long term, maybe what you guys think of the next year or so.
 

Lvis

Golden Member
Oct 10, 1999
1,747
0
76
Putting money in the stock market for only a year isn't investing, it's gambling. You should only do this if you can afford to lose most of your "gambling money" If it's money you will need for a car, house downpayment, etc. there are short term places to put your money. Though the rate of return isn't much, at least it's safe.
 

SuperSix

Elite Member
Oct 9, 1999
9,872
2
0
Intel will be making the enthusiast CPU market very interesting soon, they will be going after AMD's core audience. It should spark a boost in enthusiast sales.

The rest is under NDA.. :(
 

Novgrod

Golden Member
Mar 3, 2001
1,142
0
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You should always try to hold a stock for over a year. If you do that, your capital gains taxes go down markedly.

As for intel, it's a bit of a gamble since they don't have that many more places to go. Stocks don't rise on consistent sales; they rise on a growth in sales.

First and foremost: if you have $10 k, do NOT put it all in one stock. That's like putting all your money on one horse at the track; it'll bite you in the asche.

I'm not so sure that Intel is at an artificial low; the stock hasn't dropped all that much.

So as for intel, I'm skepitcal. I think there are better buys. If you want, look at Nvidia, which has been, well, [insert graphic explanation here] by the market, and has a comparatively low PE, a great PEG, and good forecasts. Further, Nvidia trades in a range more often than not, and it has yet to stay below 50 for long, since it first crossed 60. That said, it's volatile, its stock price is based on a perhaps unteneable rate of growth, not to mention a bevy of other problems.

Regardless, don't even contemplate putting $10 000 into one stock, or even one sector.

I worked at this stuff for a while for a salary; I invest myself pretty frequently. If you want to know anything else, PM me if I can be of service.
 

XZeroII

Lifer
Jun 30, 2001
12,572
0
0
BUY BUY BUY!!!! SELL SELL SELL!!!! BUY BUY BUY!!!! NO NO NO, YOU FOOL! ARGH!!!!!

I also would NOT invest in something you just read propeganda about. Intel may be winning the MHz war, but AMD has the faster chips. A 1.6GHz Athlon XP will outperform a PIV 2GHz. Intel would NEVER admit to this, so you might want to get some more info before you start throwing $10K around. I always like to be informed when money is at stake.
 

PlatinumGold

Lifer
Aug 11, 2000
23,168
0
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<< Intel holds just under 80% of the market now, and even if it drops, they are still selling a sh!tload of stuff. I don't see a reason not to get AMD if you are going long term. Not enough CPU makers to really kill either one.
>>



markets change quickly. Remember when ATT owned over 80% of the long distance market? well, att long distance is about to go broke. to be honest it's been what 3 or 4 years since att had 80% of the market.
 

abc

Diamond Member
Nov 26, 1999
3,116
0
0
how about getting some mutual funds instead, low load ones certainly so they don't eat up your gains.
 

LordSnailz

Diamond Member
Nov 2, 1999
4,821
0
0
wow! there a lot of good responses in here, where were you guys when I started to throw money in the market? =)

One thing I wanted to add, make sure all your debts/loans are paid off, money in 401k, IRAs, SPPs, then if you still have money left over, put some money in stocks, but make sure you don't "need" this 10k before investing.

Personally, I think intel will gain some lost ground by the end of this year. 300mm and the steep ramp in their roadmap will kill amd sheerly by processor speed ... plus the amd's xp naming convention will soon loose it's affect ... by the end of of this year, intel would probably gain by it's lost share of the market ...

my 2cents

 

hans007

Lifer
Feb 1, 2000
20,212
18
81
ok i personally dont believe that the pr rating thing is really getting consumers to buy. and i also dont believe people really care if a amd is marginally faster than an intel.

i am looking at nvda now. this money is like.. well, i suppose if i had a girlfriend i'd need it. haha. i know the risks of needing the money or what not, as i've lost a bunch before on much dumber foray into the stock market.
 

jmcoreymv

Diamond Member
Oct 9, 1999
4,264
0
0
I work for the largest consumer electronics store in the US...and 14/15 computers that we sell are intel based...you be the judge. Not saying whether the chip itself is better or worse, just what sells.