Whenever an analytical thug from the Crime Families publicizes his call, you assume that somebody’s got a position on the wrong side of the market, and one Don or another is getting unruly. Nobody wants an unruly Don around the office, believe me. Body parts get crushed. Analytical thugs spin these self-serving fabrications designed to bully market participants into doing whatever it takes to turn impending Family catastrophe into some more Family booty.
Whenever an analytical thug from the Crime Families wants to say something that might actually help somebody, it's always very hush-hush.
So after Goldberg, Styx slimed Intel yesterday, and, in the blink of an eye, the market price got chopped by half a point, we decided to scope it out and pass along whatever we came up with. INTC just reported a blowout first quarter, unrolled some new fangled, gee-whiz game-changers across product lines that short-sellers have been ragging them about of late, and reaffirmed a scorching 2011 outlook.
In a remarkably perpetual growth arena where, by caveat, chip functionality doubles every two years, this Juggernaut has built the quintessential corporate fortress. Its valuation has been compressing for years now, creating a rather remarkable income play with growth kicker. Yielding better than 3.5% on the just-increased dividend and discounting projected double digit, but cyclical, growth at a price/earnings multiple of 11, the stock has to be considered one of the great blue chip bargains of the day, or at least a compelling candidate.
Basically, anybody getting a handle on these kind of fundamentals has been rewarded way beyond reason over the long term. Paramount in this case seems to be the understanding that 1) any outfit this good has to toss away a bone or two from time to time just to keep the anti-trust rottweilers at bay, and 2) the industry landscape is totally upheaved periodically, and while drama certainly ensues, the ultimate prize always goes to Dominatrix Intel. The gal's got muscle.
For income investors, this kind of opportunity doesn't come along ever. Not in the world-class growth sector anyway. Looking at the charts, you think you see the dotcom bubble reaching out still, haunting INTC somehow from way back before the turn of the century. Whatever is going on, it's odd. Really odd.
Odd is the short-seller's calling card. You just know they're in this somewhere.
I dug through comments on a couple of websites. They all said the same thing. Investors think Intel is the blue chip bargain of the day, or at least a compelling candidate, and Goldberg’s thug publicized his call because somebody over there has a huge short position and the market hasn’t been cooperating.
Most players don‘t understand about the Dons, and those who do aren’t talking, so nobody mentioned the part where one Don or another gets unruly, but one or another most certainly is.
Nobody wants an unruly Don around the office, believe me. Body parts get crushed.
On the other hand, it’s universally understood that Goldberg, Styx bet against its own clients on at least (chuckle) one occasion during the financial holocaust, having dumped worthless products on them to begin with. And then there was the way that racketeers got the bean counters to make mark-to-market mandatory, letting the Street crush banks and SBICs and them by inflicting phony-baloney market quotes on everybody‘s reported financials. This Intel spin could be the Crime Family’s way of telling INTC investors you’re about to go down for reasons that you couldn‘t possibly know about because we‘re messing with you suckers big time again.
Wall Street is always up to no good. These are racketeers who game oil prices by storing crude in anchored tankers for no reason other than to game oil prices by storing crude in anchored tankers. While wizened investors see Intel as confoundingly undervalued, they cannot overlook the new reality that today’s Dons are fully capable of razing Fortress Intel, or anybody else for that matter, to the ground, and there‘s no law enforcement in place that can stop that from happening.
Amidst this unabated financial reign of terror, the Securities & Excuses Commission has become some kind of sick mob joke.
