Sunday, February 20, 2011

Taking another look at Intel

Although highlighted favorably in Barron's over the weekend, Intel (INTC) has been dead money for 10 years. I own it already because it is a steady dividend payer (3.3%) with growth in revenues of about 25% over the past 10 years, and it sells for a 10.5 P/E.

To accumulate more of the stock, it would take a compelling fundamental or technical reason. One appeared today -- what seems to be an inverse H&S with a neckline @ $22 and the head at $17.5. This would put the target price close to $27.

To see the INTC Stock Chart with the inverse H&S, Click here

If we see a breakout above $23, it might be time to load up the truck.

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