This month's stock is one of the most undervalued I've seen in quite a while...some would say it's cheap for a reason.
Intel (INTC)
Positives:
Massive positive free cash flows ($8.6B per year).
$18B cash, just $2B debt.
P/E of just 11, and an outstanding PEG (forecast) of 0.74.
Healthy 3.5% dividend yield.
Negatives:
Lots of recent acquisitions to integrate (Texas Instruments' cable modem business, Infineon's wireless chip segment, and most controversially, the entirety of McAfee and their security software(!)).
"Slowing" of PC sales.
Here's my current portfolio. As always, I believe in all of these stocks - until I sell them.
Apple (AAPL) 11.52%
Southern Copper (SCCO) 9.66%
Dominion Resources Black Warrior Trust (DOM) 6.77%
Google (GOOG) 6.74%
Ace Limited (ACE) 4.91%
Annaly Capital Management (NLY) 4.63%
The Distressed (AIG, BGP, C, CRIC, ENER, ETFC, F, GIGM, JSDA, JTX, MOT, PCS, WFC, YRCW) 4.41%
BP Prudhoe Bay Royalty Trust (BPT) 4.15%
Hugoton Royalty Trust (HGT) 4.09%
Frontline (FRO) 4.02%
Prospect Capital (PSEC) 3.15%
American Software (AMSWA) 3.11%
Vodafone (VOD) 3.00%
McDonald's (MCD) 2.96%
Great Northern Iron (GNI) 2.92%
Intel (INTC) 2.73%
DuPont (DD) 2.72%
Blackstone (BX) 2.51%
Tidewater (TDW) 2.41%
Apache (APA) 2.32%
F5 Networks (FFIV) 2.28%
Cherokee (CHKE) 2.04%
Baidu (BIDU) 1.88%
Intuitive Surgical (ISRG) 1.72%
PDL BioPharma (PDLI) 1.71%
Cree (CREE) 1.50%
