INTC Can't Buy a Break

Last night's earnings report by Intel (INTC) capped off what could be termed an earnings "trifecta of trifectas."  For the third straight quarter, INTC reported stronger than expected earnings, revenues, and guidance.  Normally when a company announces such strong earnings, the stock rallies, and when INTC reported its first "triple play" (stronger than expected earnings, revenues, and guidance) back in July, its stock rose over 7%. 

Following its last two earnings reports, however, investors haven't been impressed.  In October, INTC's earnings announcement coincided with a short term peak for the stock at $20.83.  Following yesterday's report, the stock initially rallied in after-hours trading, but those gains were short lived.  In early trading on Friday, the stock is actually trading down 2%.  It's still early, but based on the market's reaction to early reports from AA, INTC and JPM, earnings season has gotten off to a poor start.

Subscribe to Bespoke Premium to receive more in-depth research from Bespoke.

Comments

[Dave V.]

Great chart to highlight the wrongheadedness of those allocation suggestions. In keeping with the wisdom of "buy low, sell high", they should instead recommend a higher equity weighting as equities become cheaper, and a lower weighting as prices rise.