Profit From Intel Corporation (INTC)’s Colossal Failure

Intel has made it clear that it intends to establish a presence in the chip market for mobile devices, and it certainly has the wherewithal to do so.  I am quite sure that this is not news that pleases Qualcomm, but since it’s slightly larger than Intel in market capitalization, I doubt it’s shaking in itsboots.

The same probably cannot be said for two of the smaller players in this segment: NVIDIA Corporation (NASDAQ:NVDA) , with a market cap of $7.87 billion, and Marvell Technology Group Ltd. (NASDAQ:MRVL) , with a market cap of $5.5 billion.  However, shareholders of one of these smaller players could get an early Christmas, should Intel decide to simply purchase some existing expertise and market share in the mobile device segment of the chip market.

Today, we can profit today from Intel’s future colossal failure to go out of business, as it seems to be currently priced to do.  While you wait for the market to recognize its mistake and reward you with a substantial capital gain, you will also be able to enjoy the generous $0.90-per-share dividend, which provides a 4.3% yield.

The article Profit From Intel’s Colossal Failure originally appeared on Fool.com and is written by Ken McGaha.

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