Cyclical tech rises to the mobile challenge

Article Excerpt

INTEL CORP. $21 (Nasdaq symbol INTC; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 5.0 billion; Market cap: $105.0 billion; Price-to-sales ratio: 1.9; Dividend yield: 4.3%; TSINetwork Rating: Above Average; www.intel.com) is the world’s leading maker of computer chips. Its products power about 80% of the world’s personal computers. Intel’s revenue fell 8.4%, from $38.4 billion in 2007 to $35.1 billion in 2009. That’s because businesses and consumers put off upgrading their computers during the recession. However, pent-up demand pushed up its revenue by 24.2%, to $43.6 billion, in 2010. In 2011, revenue rose 23.8%, to $54.0 billion. Strong sales boosted Intel’s profits Earnings fell 37.4%, from $7.0 billion in 2007 to $4.4 billion in 2009. Earnings per share fell 34.7%, from $1.18 to $0.77, on fewer shares outstanding. Thanks to the higher revenue, earnings jumped to $2.05 a share…