15 Best Hardware Stocks According To Goldman Sachs

9. Intel Corporation (NASDAQ:INTC)

Number of Hedge Fund Shareholders In Q1 2024: 77

Intel Corporation (NASDAQ:INTC) is one of the largest semiconductor manufacturers in the world. These days, it is busy investing in high technology equipment and processes to re take its crown as the world’s most technologically advanced chip maker. However, woes persist, as a recent move by the US government that stopped Intel Corporation (NASDAQ:INTC) from selling processors to China’s Huawei was followed by an analyst note from Stifel which reduced the firm’s share price target to $34 from $45 and kept a Hold rating for the shares. The decision was also influenced by slightly lower estimates for Intel Corporation (NASDAQ:INTC)’s sales performance in 2024.

Intel Corporation (NASDAQ:INTC) has a forward price to earnings ratio of 28.90. Despite the cautiousness surrounding the stock in analyst quarters, this nevertheless indicates that investors expect that the stock might grow faster than the broader market. Upslope Capital Management mentioned Intel Corporation (NASDAQ:INTC) in its Q4 2023 investor letter. Here is what the firm said:

This is not a traditional long for Upslope in any sense. Intel is outside of the box in terms of typical sector and market cap focus, and the position is really a portfolio hedge (and structured as such). The thesis is very simple: Intel is uniquely positioned to benefit in two important scenarios, both of which require “protection” for Upslope’s portfolio: a continued melt-up in technology stocks and/or rising tensions over Taiwan. Combined with expectations and sentiment around Intel that were incredibly low, this nudged me to add exposure via long-dated INTC call options. While still material in terms of delta-adjusted exposure, the position has been reduced repeatedly and is much more modest today.