Is Intel Corporation a Buy?

Thanks to massive scale, Intel has a competitive advantage over its peers as it outspends them in manufacturing and in research and development. That means Intel, for the most part, will have the most cutting-edge semiconductor manufacturing and the most advanced offerings for its clients. With economies of scale like this, Intel could make an excellent long-term holding if bought at the right price. But is Intel cheap enough at today's prices?

Fool contributor Daniel Sparks recently set out to estimate the value of Intel's intrinsic per-share value. Using a discounted cash flow valuation model, some conservative net income growth expectations,and a 10% discount rate, Daniel thinks shares are worth $30.60. Find out why in the following video.

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Daniel Sparks has no position in any stocks mentioned. The Motley Fool recommends and owns shares of Intel. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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