Intel (INTC) Has to Give Its Heart Away To Survive

Investing

Published: February 20, 2025 11:46 am

24/7 Wall St. Key Points:

Broadcom (NASDAQ: AVGO) is reportedly interested in acquiring Intel’s (NASDAQ: INTC) chip design and marketing division, while Taiwan Semiconductor Manufacturing Company (NYSE: TSM) is eyeing its manufacturing facilities.
Intel, once the dominant leader in semiconductors, has struggled with declining market share and financial losses, making a breakup a possible path forward.
If a deal materializes, Intel shareholders could see upside, but without a restructuring, the stock may remain stagnant after years of underperformance.
While Intel flounders and Nvidia looks fully valued, investors are looking ahead to ‘The Next Nvidia’ stocks to generate phenomenal wealth in 2025. Click here to see what all of the excitement is about before it’s too late.

Watch the Video

Transcript:

[00:00:04] Doug McIntyre: So Intel, the shares of which are down almost 70 percent over the last five years, may have a couple of suitors for pieces of the company for this to work Intel would have to be broken up, but if you’re a shareholder

[00:00:20] Lee Jackson: I think it’s like that’s just Inconceivable. Yeah. Yeah

[00:00:25] Doug McIntyre: So tell me the story.

[00:00:27] Lee Jackson: Well, I mean this is all kind of It’s been tossed around for a while first.

[00:00:31] Lee Jackson: It was Qualcomm (NASDAQ: QCOM) and then it was somebody else but now, you’re right. It could be like the potential breakup of it was the company that led the charge in semiconductors, but Broadcom, simple AVGO, they’re interested in a part of the company that is, is probably the, the heart of the company, I guess, which is their chip design and marketing.

[00:00:55] Lee Jackson: And, Taiwan Semi, your simple TSMC is they’re interested in some or all of the plants.

[00:01:02] Doug McIntyre: Yeah, they want the manufacturing facility.

[00:01:04] Lee Jackson: They want the manufacturing and, and, and wine. Wine. Americans, because it’s here, and they’re thinking way outside the tariff box on this.

[00:01:13] Lee Jackson: And it, it’ll be. I mean, I’ve been in this business a long time, so have you, and there was a time when, Intel just dominated everything, and every chip design, every new design, it was the Andy Grove special, and it was going to be bigger, better, faster, and everything, and, and then it just got away from them, and it’s, to see Intel get split up, I don’t know what, how much will be left if they split it between BroadCom and TSMC, Taiwan Semi.

[00:01:40] Doug McIntyre: Well. It could look a little bit like, G.E. (NYSE: GE) You have two or three big pieces and then somehow you sell off another couple of small ones. But if you’re an Intel shareholder, keep your fingers crossed because this they don’t have a CEo. they keep losing billions of dollars. So it’s a good idea for you to throw a penny in the wishing well and say, wouldn’t it be nice if if they broke up Intel and sold it off, but watch it if you’re, if you like speculative stocks.

[00:02:11] Doug McIntyre: To me it’s the kind of thing you might throw a few dollars at if the breakup. You can take a swing at it. The breakup doesn’t happen. You probably, the stocks, it’s already cratered so much.

[00:02:22] Lee Jackson: Yeah, it’s, but you know, the last time I looked it was, it was up and down over the, of course, we’re recording this on the President’s Day holiday, so we can’t see it today.

[00:02:31] Lee Jackson: But yeah, it’s been up and down over 20 bucks and, and, obviously, you’ve got to think that if they did big sales like that with Broadcom and Taiwan Semi, they could probably get a decent valuation because it’s probably worth a fair amount. So certainly the stock would trade higher on that, or you get pieces, of Broadcom and Taiwan Semi that to go with your Intel.

[00:02:55] Lee Jackson: So it’ll be interesting to see what happens because everybody’s been talking about this. It’s just almost, it’s almost inconceivable for, for me to think that it could be gone or broken up.

Are You Still Paying With a Debit Card?

The average American spends $17,274 on debit cards a year, and it’s a HUGE mistake. First, debit cards don’t have the same fraud protections as credit cards. Once your money is gone, it’s gone. But more importantly you can actually get something back from this spending every time you swipe.

Issuers are handing out wild bonuses right now. With some you can earn up to 5% back on every purchase. That’s like getting a 5% discount on everything you buy!

Our top pick is kind of hard to imagine. Not only does it pay up to 5% back, it also includes a $200 cash back reward in the first six months, a 0% intro APR, and…. $0 annual fee. It’s quite literally free money for any one that uses a card regularly. Click here to learn more!

Flywheel Publishing has partnered with CardRatings to provide coverage of credit card products. Flywheel Publishing and CardRatings may receive a commission from card issuers.