Key insights
- The author questions Intel's valuation at $130 despite its strong performance and positive sentiment, contrasting it with other high-flying semiconductor and tech stocks like Micron, SanDisk, Rocket Lab, SpaceX, and Marvel. The piece explores a potential rotation from defensive/value stocks into growth-oriented tech, highlighting the difficulty in losing money on these names recently. It seeks discussion on the bull/bear cases for Intel and the broader trend of shifting investment towards AI and semiconductor sectors.
I’ve been looking at Intel lately, and despite the huge run, I’m wondering if it’s still a great buy around $130.
It feels like they’re doing almost everything right right now. They’re making more money than ever, seem to be regaining confidence from enterprise customers, and investors appear to love the story again.
If you believe the stock could double by the end of the year, is $130 still a reasonable entry?
What also makes me wonder is how many tech names seem almost impossible to lose money on lately. Stocks like MU, SNDK, RKLB, SpaceX, Nebius, MRVL, and ASML just keep grinding higher. All these are also highly interesting - maybe INTC MU SNDK RKLB SPCX NBUS MRVL ASML could be a good portfolio?
Even when they dip for a few days, they often recover almost immediately and make new highs. It almost feels like, as long as you hold for more than a few days, you’re eventually rewarded.
Meanwhile, some of my more defensive/value positions barely move. Think names like UNH, PG, META, PFE, VZ, TSMC, VICI, and Realty Income (O). They just seem to be really bad companies that can’t produce any profits/revenue since the stock don’t shoot up and the opportunity cost has been huge compared to AI and semiconductor stocks.
Has anyone here rotated out of slower dividend/value stocks and gone heavily into tech?
Curious to hear both the bull and bear cases for Intel at these levels.