Two Ways To Play: Intel in Slide
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Intel (INTC) lowered its fourth-quarter outlook for a second time, sending its shares down 6% in today's session. According to the New York Times, the global chip maker said revenues would come in around $8.2 billion, roughly $500 million below its previous projections. Gross profit margins are also expected to be hit.
The company blamed weakened demand for PCs and computer manufacturers holding off on adding chips. The announcement comes about a month after Advanced Micro Devices (AMD), one of Intel's chief rivals, also warned of a fourth-quarter hit.
Intel closed the day down 6% to $14.44. Advanced Micro finished down 4.32% to $2.66.
From the Bull Pen: For a trade, bulls can still look to the tech stocks that performed relatively well today, namely Research In Motion (RIMM) and VMWare (VMW). Remember to set your stops.
From the Bear Cave: Bulls can consider the Ultrashort Q's (QID) for a short-term play. Consider a stop below $53.
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