Quick Win By The Algorithm: INTC Refocusing

Quick Win By The Algorithm

Intel (INTC)

On July 20, 2016, the I Know First algorithm gave a bullish signal of 21.54 for the ticker INTC with a predictability indicator of 0.11 in a 3 months forecast. As the algorithm predicted, INTC experienced a quick win of 3.81% within 3 months.

Quick Win By The Algorithm

Intel Corp. (INTC) is engaged in the design and manufacture of digital technology platforms. The company sells these platforms to original equipment manufacturers (OEMs), original design manufacturers (ODMs), and industrial and communications equipment manufacturers in the computing and communications industries. The Company’s platforms are used to deliver a range of computing experiences in notebooks, 2 in 1 systems, desktops, servers, tablets, smartphones, and the Internet of Things. It also develops and sells software and services focused on security and technology integration.

A senior analyst at I Know First closely monitored Intel Corp. since July 24, 2016. Our analyst released a forecast of Intel and accurately predicted (along with the algorithm in July) its price volatility of decreasing in the short term before recovering to $35 per share. Along with the algorithm, the analyst continued to track Intel and support a buy recommendation, forecasting the stock to increase in value.

Quick Win By The Algorithm

Intel has rebounded impressively. Since February 11, 2016, a time when the beginning of the year began with investors worried of a possible bear market. Intel registered a return of 26.19% surpassing the S&P 500 return of 16.61%. There are several reasons to explain for Intel’s stock performance. As of April 2016, Intel is in the process of restructuring its business to focus on being a leader in cloud based services and other computing devices. In this cost saving move, the company will layoff up to 12,000 employees by mid-2017. The company projects to save approx. $750 million this year and up to $1.4 billion by mid 2017.  In September 2016, Intel spun-out Intel Security, a computer security software company by converting it into a joint venture with TPG Capital, to call the company McAfee.  This brought Intel $3.1 billion to be added to its balance sheet. In September 7, 2016, Apple released in its debut the much anticipated iPhone 7, which will feature some of its phones to be equipped with Intel’s 7360 Modem. In fact, Intel and Apple are working together on the product’s next generation, the Intel 7460 Modem.  This is encouraging news.  If this continued business relationship blossoms, Intel may see itself as a major supplier in a market they thought had lost.

This bullish forecast on SRPT was sent to current I Know First subscribers on July 20th, 2016.