This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Jim Cramer's Best Blogs

At the time of publication, Action Alerts PLUS, which Cramer co-manages as a charitable trust, is long AAPL, GE and SLB.

You Won't Have Intel to Kick Around

Posted at 7:22 a.m. EST on Friday, Jan. 18

No, I won't.

I refuse to feel sorry for a company that generated $6 billion in cash flow for the quarter, that spent $2.5 billion for new capital equipment to stay ahead of the game and still paid out $1 billion in dividends. I am not going to cry over a company that had $11 billion in net income and had gross margins of 63% for 2012.

That's right, I refuse to feel any remorse for Intel (INTC - Get Report) and its inability to hit it out of the park any more without very strong gross domestic product growth worldwide and customers that are able to do better than ones who use the other guy's chips. And this time it isn't Advanced Micro (AMD), but ARM Holdings (ARMH).

One could argue that you have to empathize with great American businessmen, premier manufacturers that simply can't grow fast any more, where low-single-digit revenue growth is becoming the norm and where you have to hope for a hockey-stick recovery in 2013 to get some real growth going.

Frankly, going into the quarter I expected more. Call me dated, but I thought the Windows refresh cycle would have more of a positive impact. Instead, Intel seemed to be hurt by the inventory clearance in older, Windows-7-based PCs. The burgeoning data center orders couldn't make up the difference.

Intel had also hung its hat on a huge ramp of the Ultrabook, but the tablet pretty much boxed that out. Plus, on the conference call Intel talked about the confluence of phablets (phone-tablet hybrids that are larger than smartphones, but smaller than plain old tablets) and how those are up-and-coming devices. Intel will have product for those markets and it lays claim to the mantle of offering the fastest and the lightest and the longest -- the usual superlatives -- with their new chips for that slice of the computing pie. In fact, it makes the point that Intel will have something for everything that is computing related that is competitive to anything anyone else has.


Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

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.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Real Money
Try it NOW

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums


Chart of I:DJI
DOW 17,798.49 -14.90 -0.08%
S&P 500 2,090.11 +1.24 0.06%
NASDAQ 5,127.5250 +11.3820 0.22%

Our Tweets

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs