Dykstra: All In on Intel

How would you like to own a company that has $10 billion in cash and does $35 billion in revenue? Sound good? It sure sounds good to me. Oh, I almost forgot: The company is also No. 1 in the world at what they do.

Sometimes things can be so obvious they are confusing. That is my feeling about the price of Intel(INTC Quote) stock. When it comes to technology, Intel and Cisco(CSCO Quote) have been the dominant players for years, and guess what?

They still are.

And when it comes to counting chips, Intel has the largest stack at the table, by far. So, playing from this position of strength, I am going all in with Intel, the world's largest semiconductor chipmaker.

Shares have been hurt by weaker-than-expected sales and lackluster forecasts, but semiconductor inventory levels should begin clearing out by the middle of this year. Also, all chipmakers have been hurt by a shift in the wireless handset market toward lower-end phones. However, another shift will occur later this year, as the consumer returns to the new, high-tech handsets, thereby improving growth.

Intel has unequivocally reaffirmed its dominant position as the world's largest semiconductor chipmaker. It is well known for its dominant market share in microprocessors for personal computers. Although the PC processor is a mainstay, Intel has expanded its product lines to serve the networking and communications markets. The company's mission is to be the preeminent supplier of silicon chips and platform products to the worldwide digital economy, and Intel has taken apart Advanced Micro Devices(AMD Quote).

Intel has been playing in the big leagues for a long time, and it will always be the biggest and the best, period. I am going to buy 10 July 15 calls (NQGC) at $4.50 or better, which is equal to 1,000 shares of Intel's common stock. This is one of the safest plays I have written about. Lock and load!

Now let's talk sports.