Intel (INTC) Marked As A Barbarian At The Gate
Trade-Ideas LLC identified
(
) as a "barbarian at the gate" (strong stocks crossing above resistance with today's range greater than 200%) candidate. In addition to specific proprietary factors, Trade-Ideas identified Intel as such a stock due to the following factors:
- INTC has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $770.5 million.
- INTC has traded 19.1 million shares today.
- INTC traded in a range 210.9% of the normal price range with a price range of $1.15.
- INTC traded above its daily resistance level (quality: 15 days, meaning that the stock is crossing a resistance level set by the last 15 calendar days. The resistance price is defined by the Price - $0.01 at the time of the signal).
Stocks matching the 'Barbarian at the Gate' criteria are worthwhile stocks to watch for a variety of factors including historical back testing and volatility. Trade-Ideas targets these opportunities because the stock is exhibiting an unusual behavior while displaying positive price action. In this case, the stock crossed an important inflection point; namely, 'resistance' while at the same time the range of the stock's movement in price is more than twice its normal size. This large range foreshadows a possible continuation as the stock moves higher.
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More details on INTC:
Intel Corporation designs, manufactures, and sells integrated digital technology platforms worldwide. It operates through PC Client Group, Data Center Group, Internet of Things Group, Mobile and Communications Group, Software and Services, and All Other segments. The stock currently has a dividend yield of 2.9%. INTC has a PE ratio of 14. Currently there are 19 analysts that rate Intel a buy, 3 analysts rate it a sell, and 9 rate it a hold.
The average volume for Intel has been 32.2 million shares per day over the past 30 days. Intel has a market cap of $154.0 billion and is part of the technology sector and electronics industry. The stock has a beta of 0.89 and a short float of 2.3% with 4.81 days to cover. Shares are down 8.6% year-to-date as of the close of trading on Wednesday.
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Analysis:
rates Intel as a
. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, attractive valuation levels, notable return on equity, good cash flow from operations and expanding profit margins. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook.
Highlights from the ratings report include:
- The current debt-to-equity ratio, 0.36, is low and is below the industry average, implying that there has been successful management of debt levels. To add to this, INTC has a quick ratio of 1.66, which demonstrates the ability of the company to cover short-term liquidity needs.
- The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. Compared to other companies in the Semiconductors & Semiconductor Equipment industry and the overall market on the basis of return on equity, INTEL CORP has underperformed in comparison with the industry average, but has exceeded that of the S&P 500.
- Net operating cash flow has remained constant at $5,735.00 million with no significant change when compared to the same quarter last year. Along with maintaining stable cash flow from operations, the firm exceeded the industry average cash flow growth rate of -22.28%.
- The gross profit margin for INTEL CORP is currently very high, coming in at 78.24%. Regardless of INTC's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, the net profit margin of 21.49% trails the industry average.
- You can view the full Intel Ratings Report.
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