NEW YORK ( TheStreet) -- Buy-and-hold investors have crushed it with Intel (INTC). Granted, if you bought during the dot-com bubble during 2000, your portfolio may still be upside down, but maybe not depending on your use of option hedging and dividend reinvestment strategies.
Investors from $28+ in 2012 are enjoying a fat and rising dividend while waiting for capital gains. For investors considering adding more shares or entering a new position, right now is an exciting time.
The earnings release is this week, and you can exploit elevated option premium to enhance your entry while at the same time lowering your risk.
First, let's look at what we are expecting with earnings, then the competitive landscape and finally, ideas on maximizing your edge.INTC data by YCharts
Background: Intel designs, manufactures and sells integrated digital technology platforms primarily in the Asia-Pacific, the Americas, Europe, and Japan. 52-Week Range: $19.23 to $29.27 Price to Book: 2.2 Intel is forecast to record lower fourth-quarter earnings after the market closes on Jan. 17. The consensus estimate is currently 45 cents a share, a drop of 19 cents (29.7%) from 64 cents during the equivalent quarter last year. Estimates from analysts range from a low of 36 cents per share, up to the highest estimate of 50 cents per share. Expected revenue and earnings pressure is the primary catalyst causing the share price to fall out of bed during in the second half of 2012. TheStreet'sRobert Weinstein writes about Intel in
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV