Can Intel Stock See Rising Prices?

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With shares of Intel (NASDAQ:INTC) trading around $22, is INTC an OUTPERFORM, WAIT AND SEE, or STAY AWAY? Let’s analyze the stock with the relevant sections of our CHEAT SHEET investing framework.

T = Trends for a Stock’s Movement

Intel designs and manufactures integrated digital technology platforms, including microprocessors and chipsets. The company sells these platforms primarily to original equipment manufacturers, original design manufacturers, and industrial and communications equipment manufacturers in the computing and communications industries. Intel’s platforms are used in a range of applications such as personal computers, data centers, tablets, smartphones, automobiles, automated factory systems, and medical devices.

The company also develops and sells software and services primarily focused on security and technology integration. Microprocessors, chipsets, and software products and services are at the root of most technological progress. A bellwether and main provider like Intel will see rising demand and increased market share, as it is the only viable option for a growing consumer base and expanding companies worldwide.

Intel has declared a 22.5 cent per share quarterly dividend, in line with its previous dividend. It has a forward yield of 3.8 percent, and is payable on December 1 for shareholders of record on November 7. It has an ex-dividend date of  November 5.

T = Technicals on the Stock Chart Are Mixed

Intel stock has remained in a consolidation range for most of the past several years. The stock has seen a sharp pullback from highs for the year, so it may need time to stabilize. Analyzing the price trend and its strength can be done using key simple moving averages. What are the key moving averages? The 50-day (pink), 100-day (blue), and 200-day (yellow) simple moving averages. As seen in the daily price chart below, Intel is trading between its key averages, which signals neutral price action in the near term.

INTC

Source: Thinkorswim

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