After a weak outlook and a sharp sell-off, many investors have finally given up on Intel. But it’s precisely at moments like these that interesting opportunities emerge.
I’m not going to buy Intel at current prices, and I also don’t see any point in shorting the stock after such a steep decline. For me, the key level is below $50. That’s where the company starts to look genuinely attractive from a long-term valuation perspective.
Why am I interested in the area below $50?
1. A strong fundamental foundation
Despite the challenges of recent years, Intel remains one of the world’s largest semiconductor companies. The company has a massive asset base, significant manufacturing capacity, and tens of billions of dollars on its balance sheet.
Below $50, in my view, the market starts pricing in an overly pessimistic business outlook.
2. The market is underestimating Intel Foundry’s progress
Most investors are focused only on declining profits and market share losses.
However, the contract manufacturing business is gradually gaining momentum. Progress on the 18A process node could become an important factor in the company’s future revaluation.
3. Strategic importance to the United States
Intel remains the only major U.S. manufacturer of advanced chips with its own fabs.
As the United States strives for technological independence, supporting domestic semiconductor manufacturing is becoming a matter of national strategy. The market often underestimates this factor.
4. AI and data center potential
The artificial intelligence and data center segments continue to grow rapidly.
Right now, attention is focused on the company’s problems, but if Intel manages to deliver steady improvement in its results, market sentiment could change much faster than many expect.
My plan
✅ Don’t buy at current prices.
✅ Don’t open a short position after a sharp drop.
✅ Wait for the area below $50, where an attractive long-term opportunity may emerge.
✅ In the event of panic selling, consider gradually building a position in tranches.
Remember: this is not investment advice, but my personal view of the situation. The market could always take a different path, so risk management remains the top priority.