Intel downgrade a buying opportunity
Just last week, I blogged about Intel hitting $30. Today Bank of America downgraded Intel. The stock dropped 6%.
Here's why I think the move is ridiculous. While others are out there panicking, I decided to take advantage of this buying opportunity. As I stated in my previous posting, Intel has a huge competitive advantage over AMD, who is crippled with debt. In my opinion, the downgrade is strictly a move to lower the price of the shares so that they can accumulate more. I strongly believe that technology still has legs and should continue to steam ahead in the short term.
As a result of this, I picked up some more shares of Intel (INTC) this morning as this was an extremely good long term opportunity. I am definitely not worried if the stock remains weak for the next few days. I'll keep an eye on the stock. If there are further dips, I will interpret them as more buying opportunities!
Disclosure: I am long Intel (INTC).
"Bank of America analyst Sumit Dhanda said in a note to investors that his previous bullish outlook on the company was predicated on sales growth, margin improvement and an attractive share valuation. But his analysis now suggests that these factors have limited power in the near term, he said."
Here's why I think the move is ridiculous. While others are out there panicking, I decided to take advantage of this buying opportunity. As I stated in my previous posting, Intel has a huge competitive advantage over AMD, who is crippled with debt. In my opinion, the downgrade is strictly a move to lower the price of the shares so that they can accumulate more. I strongly believe that technology still has legs and should continue to steam ahead in the short term.
As a result of this, I picked up some more shares of Intel (INTC) this morning as this was an extremely good long term opportunity. I am definitely not worried if the stock remains weak for the next few days. I'll keep an eye on the stock. If there are further dips, I will interpret them as more buying opportunities!
Disclosure: I am long Intel (INTC).
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