5-Star Stocks Poised to Pop: Intel

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, computer chip gorilla Intel (NAS: INTC) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at Intel's business and see what CAPS investors are saying about the stock right now.

Intel facts

Headquarters (founded)

Santa Clara, Calif. (1968)

Market Cap

$128.2 billion

Industry

Semiconductors

Trailing-12-Month Revenue

$54.5 billion

Management

CEO Paul Otellini (since 2005)
CFO Stacy Smith (since 2007)

Return on Equity (average, past 3 years)

24.5%

Cash/Debt

$13.7 billion / $7.2 billion

Dividend Yield

3.2%

Competitors

Advanced Micro Devices
Samsung Electronics
Texas Instruments


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 94% of the 9,473 members who have rated Intel believe the stock will outperform the S&P 500 going forward.

Just last week, one of those bulls, FoolSolo, highlighted Intel as a particularly value opportunity:

High conviction pick for me. At this price [Intel] is undervalued and simply a great bargain. The stock is priced as though it has lost the mobile chip war, and as though it has no future in PCs. I predict Intel will gain a 10% share of mobile in the next 2 years, and will likely fracture the market and take 40-50% share within 5 years. Meanwhile, PC servers will continue to power the web, cloud and enterprise data centers around the planet, and especially in China.

For some reason, most analysts also seem to overlook Intel's other business lines, such as their SSD and other non-microprocessor chips.

If you want market-topping returns, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future. Of course, despite its five-star rating, Intel may not be your top choice.

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Want to see how well (or not so well) the stocks in this series are performing? Follow theTrackPoisedToCAPS account.

The article 5-Star Stocks Poised to Pop: Intel originally appeared on Fool.com.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Motley Fool owns shares of Intel. Motley Fool newsletter services have recommended buying shares of Intel. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.

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