Why Intel Is Poised to Outperform

Market-trouncing returns could be written in this 5-Star.

Brian D. Pacampara, CFA
Brian D. Pacampara, CFA
Mar 18, 2013 at 6:08PM
Technology and Telecom

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, computer chip giant Intel (NASDAQ:INTC) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at Intel and see what CAPS investors are saying about the stock right now.

Intel facts



Headquarters (founded)

Santa Clara, Calif. (1968)

Market Cap

$105.7 billion



Trailing-12-Month Revenue

$53.3 billion


CEO Paul Otellini (since 2005)

CFO Stacy Smith (since 2007)

Return on Equity (average, past 3 years)



$18.2 billion/$13.6 billion

Dividend Yield




Samsung Electronics

Texas Instruments (NASDAQ: TXN)

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 98% of the 9,989 members who have rated Intel believe the stock will outperform the S&P 500 going forward.

Just last month, one of those Fools, CardinalRam, succinctly summed up the bull case case for our community:

[Intel] is just beginning to see the impact of the ATOM processor and it will get better over time. I still think this is a 12+ month play. I also think that UltraBook will be successful over the 1-2 year time frame. Then there is the server market -- there is little competition to who powers the "cloud." They probably won't return to double digit growth, but as undervalued as [Intel] is today and with a [4+% dividend yield], I don't see how they can't outperform.

Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.