Transcript H&R Block, Inc. (HRB) Align Technology Inc. (ALGN)

Rishab Negi
Intel Corporation: Background

Produces microprocessors,
motherboard chipsets, network interface
controllers, flash memory, and graphics
chips
 Produces 75% of all computer
microprocessors
 50 offices in U.S.
 Employs 100,100
Founded in 1968
 Headquartered in Santa Clara, CA

Intel Corporation: Basic Numbers
Current Price:
 P/E Ratio:
 Beta:
 Dividend/ Yield:
 EPS:
 52-Week Low:
 52-Week High:
 Market Cap:
 Institutional Ownership:

$20.83
9.10
1.06
$0.22/ 4.32%
$2.29
$20.82
$29.97
103.65 Billion
63%
Taken from http://www.google.com/finance?q=intc&ei=9DKcUIC7FqKelwOzUg as of 11/08/12
Intel Corporation:
Recommendation
Buy: Limit at $21, 5 shares – Buy ASAP
 Sell: March – June 2013, depending on
“Haswell” release

Intel Corporation:
Marketing Strategy
Intel Corporation: 1 Month
Intel Corporation: 3 Months
Intel Corporation: 6 Months
Intel Corporation: 3 Year
= March-June
= November-December
Intel Corporation vs Competitors, 3
Month
TXN
INTC
NVDA
AMD
3 Year Graph Analysis
Shows trend of stock value increasing
between November and April-June
 Stock is heading towards lowest point in
52 week cycle

Intel Corporation: Earnings
Report
Q3 2012
Q2 2012
Revenue
$13.5 billion
$13.5 billion
Gross Margin
63.3%
63.4%
Operating Income
$3.8 billion
$3.8 billion
Net Income
$3.0 billion
$2.8 billion
Earnings Per Share
58 cents
54 cents
Intel Corporation: Reasons to Buy
World’s largest semiconductor chip maker
based on revenue and market share
 Post “Tick” phase – “Ivy Bridge”
 Shrinking of old microarchitecture
 Value of stock decreasing
 Approaching a “Tock” – “Haswell”
 New michroarchitecture release
 Value of stock will increase, according to
previous trends

Intel Corporation: Reasons to Buy
Offices in over 45 countries spanning 5
continents – multiple markets
 Intel based smartphones already offered
in several countries (France, Germany,
UK, Brazil) – soon to be offered in the
U.S.
 Several Intel based tablets already
released (HP Slate 2, Samsung ATIV),
more to come

Intel Corporation: Reasons to Buy
Backed up by many well known PC
manufacturers (HP, Dell, Lenovo, Sony,
Acer, Asus, Gateway, etc) as well as
Apple
 Reaching lowest point in 52 week cycle
 Continues to dominate PC processor
market with a 75% market share
 Good track record, proven to make profit
for investors – 5 stars from “The Motley
Fool”

www.fool.com/quote/nasdaq/intel-corp/intc
Intel Corporation: Competition

Advanced Micro Devices Inc(AMD)
 Market cap of only 1.5 Billion
 25% market share vs Intel’s 75%
 Backing out of direct competition

Texas Instruments Inc(TXN)
 Market cap of only 32.49 Billion
 Makes calculators and smartphone processors

NVIDIA Corporation(NVDA)
 Market cap of only 7.99 Billion
 Makes GPU’s
Intel Corporation: Competition


EPS for Intel
unmatched by
competitors: $2.23
for Intel vs $1.53 for
TXN, $0.77 for
NVDA, and -$1.20
for AMD (Google
Finance)
Best investment in
semiconductor chip
market
Citations
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http://seekingalpha.com/article/855481-amd-versus-intelnot-a-fair-fight
https://www.google.com/finance?client=ob&q=NASDAQ:I
NTC
http://en.wikipedia.org/wiki/Intel
http://money.cnn.com/quote/competitors/competitors.html
?symb=INTC
http://www.fool.com/quote/nasdaq/intel-corp/intc
http://en.wikipedia.org/wiki/Intel_Tick-Tock
http://www.intc.com/results.cfm
http://files.shareholder.com/downloads/INTC/2156234021
x0x605849/bf8bc94b-41a4-4f29-8696ddb0fa7c55e3/INTC_12Q3_Earnings_Release.pdf
http://www.intel.com/content/www/us/en/location/usa.html