1 / 15

Welcome to CCIG!

Welcome to CCIG!. 3/25/2013. Agenda. Today in the Market Dell takeover discussion Stock pitch by Stephen. Today in the Market. Cyprus leading to down markets Apple acquires new start up company (20M) Blackberry down recently Less unemployment, not yet growth

edith
Download Presentation

Welcome to CCIG!

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Welcome to CCIG! 3/25/2013

  2. Agenda • Today in the Market • Dell takeover discussion • Stock pitch by Stephen

  3. Today in the Market • Cyprus leading to down markets • Apple acquires new start up company (20M) • Blackberry down recently • Less unemployment, not yet growth • http://www.nbcnews.com/video/nbc-news/51262405#51262405

  4. Cyprus Discussion • http://www.reuters.com/video/2013/03/25/investors-fears-over-cyprus-bailout?videoId=241827253&videoChannel=5 • Cyprus banks taking money from savers • Leads to uncertainty about future bank actions • How does this change your view on international investment?

  5. Dell Going Private • Dell going through an LBO • http://www.investopedia.com/video/play/leveraged-buyouts/

  6. Quick Overview • Michael Dell decides he wants to go private • 3 bids for the company • Silver Lake (Dell supports) • Blackstone • Carl Icahn • Special board votes on which option • Some stakeholders upset at value of company

  7. Why go private? • Escape scrutiny of shareholders • Dell needs a radical change for revenue • Short term loss for long term profit • More control over company • Dell revenue down 11% in past year • Is Michael Dell the right choice?

  8. Microsoft and Dell • Microsoft loaning 2 bill to help buyout • Not getting any ownership • Why do this? • Microsoft holds over 60B in cash • Needs Dell to succeed for its software • Good investment?

  9. Stock Pitch -Stephen

  10. Intel at a Glance • Founded in 1968 by Gordon Moore (chemist and physicist) and Robert Noyce (physicist) • Headquartered in Santa Clara, California • Technology Sector and Semiconductor Industry • CEO: Paul Otellini (since 2005) • #6 World’s Most Powerful Brand (According to Forbes)

  11. What does Intel do? • Designs and manufactures advanced integrated digital technology platforms. • A platform consists of a microprocessor and chipset • Sells these platforms primarily to: • Original equipment manufacturers (OEMs) • Original design manufacturers (ODMs) • Examples: Sony, Motorola, HP, Samsung, Dell etc. • Platforms are used in a range of applications, such as PCs, tablets, smart phones, automobiles and medical devices

  12. Market Price • The high: $29.27 • The low: $19.23 • Current: $21.20

  13. Intel Compared to Industry

  14. News to Keep an Eye Out For • CEO is retiring in May of this year • Next Earnings Date: April 13, 2013 • New manufacturing plant in Arizona scheduled for completion this year • $5 billion investment

  15. Conclusion • Offers high dividend yield (good for Jake)! • Biggest cause of concern: where will revenue come from with decline in PC market • For a value investor • Buy… but consider doing more research on the PC market, Intel’s future products, and potential CEO candidates

More Related