Intel Corporation (INTC): What Shot Shares Through the Roof?

Page 1 of 2

Although we don’t believe in timing the market or panicking over daily movements, we do like to keep an eye on market changes — just in case they’re material to our investing thesis.

Shares of Intel Corporation (NASDAQ:INTC) have jumped as much as 3.6% today. The surge instantly repaired the damage that was done to Intel Corporation (NASDAQ:INTC)’s share price last Thursday, when soft economic reports and weak earnings reports in the tech sector conspired to crush the stock.

Intel Corporation (NASDAQ:INTC)I’m not complaining, being an Intel Corporation (NASDAQ:INTC) shareholder myself. It’s always nice to see your shares soaring, even if it means a higher purchase price for my next DRIP dividend share purchase. For the record, Intel Corporation (NASDAQ:INTC)’s next dividend check will arrive in a couple of weeks, on September 1, so short-term price swings might actually affect your long-term dividend returns at the moment.

So what did it take to shoot Intel’s shares through the roof today?

It wasn’t an overall market jump: Intel posted the Dow Jones Industrial Average (Dow Jones Indices:.DJI)‘s highest overnight jump, and the venerable index is actually down 0.31% in early-afternoon trading.

We’re not looking at an overall surge in the semiconductor market, and Intel Corporation (NASDAQ:INTC) itself didn’t spark today’s surge, either. The press roll from Santa Clara is empty, save for the fairly insignificant news that an executive from recently acquired security specialist McAfee got a new job at the Department of Homeland Security. If you’re investing in Intel based on nothing but this tidbit, you’ve got some serious homework to do.

No, all it took to shoot Intel Corporation (NASDAQ:INTC) shares skyward was one analyst upgrade. And it’s not even a ringing endorsement: Analyst Gus Richard of Piper Jaffray only raised Intel from a “sell” rating to a “neutral” and moved the stock’s price target from $20 per share to $22, which is close to this morning’s opening price.

Richard’s arguments for dropping the “sell” rating are a mixed bag. He says Intel’s “Bay Trail” batch of mobile processors looks like a serious player in tablet computers, and I agree with that opinion. But Richard also says Microsoft Corporation (NASDAQ:MSFT)‘s termination of its technical support for Windows XP installations could also be a growth driver for Intel. Specifically, corporate buyers are supposed to flock to Windows 8.1 systems built around newer Intel chips.

Page 1 of 2
Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The Best B-Boy Movies

Most Awesome Hip Hop Documentaries

Foods That Stain Your Teeth

Richest Doctors in the World

The Best Movie Sountracks Ever

The Highest Grossing Musicals on Broadway

The Most Successful Reality TV Stars

Cheapest Cities to Visit in the US

Most Expensive Summer Camps

Most Expensive Animals in the World

Most Expensive Specialty Crops in the World

Movies That Took Ages to Make

The Longest Hollywood Films Ever Made

Most Expensive Concert Stages

The Richest Bands of all Time

10 Most Corrupt Countries 2013 List

10 Countries with the Highest Quality of Life Index

Most Expensive Mattresses in the World

5 Smallest Countries by Land Area

The Ultimate Heartbreak Songs

Richest Teenagers in the World

10 Most Haunted Places in America

10 Best Places to Retire in Florida East Coast

Top 10 Places to See Before You Die

Top 8 Countries in the World Where Justice Prevails

10 Richest States in America

15 Wealthiest Countries in the World

Richest Singers in the World

Most Expensive Tasting Menu in New York City

Most Expensive Baby Items in the World

Most Expensive Hotel Suites in Vegas

Most Expensive Brunch in New York City

Most Expensive Beef Cuts in the World

25 Best Colleges to Get a Job

Top 10 US Supermarkets

The 25 Most Dangerous Cities in the World to Visit

Most Expensive Xbox Games

Top 11 Cities Where Billionaires Live

Top 10 Most Charitable Companies in America

Most Expensive Seafood in the World

The 10 Wildest Conspiracy Theories

The 10 Best Job Markets in the US

Top 10 Accounting Scandals of All Time

The 25 Biggest Cities in the World

Top 10 Best Paying Virtual Jobs

Most Expensive Leather Shoes in the World

Top 6 Things to Buy in March

The 10 Most Stressful Jobs in America – 2014 List

Top 10 Jobs for Introverted People

Top 10 Honeymoon Destinations in the World

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!