, Intel Corporation (NASDAQ:INTC) Paid Handsomely for A Piece of Next Big Thing As It Offered Over $15B for Mobileye

Shares of Intel Corporation (NASDAQ:INTC) [Trend Analysis] runs in leading trade, it plunging -2.09% to traded at $35.16. The firm has price volatility of 1.61% for a week and 1.37% for a month. Its beta stands at 1.01 times. Computer chipmaker, Intel (INTC) paid handsomely for a piece of next big thing Monday as it offered more than $15 billion for Mobileye, an Israeli company at the forefront of autonomous vehicle technology.

The purchase, slated to close by year’s end, creates another major player in self-driving technology as traditional automakers and tech companies vie to put the cars into public use. Most companies have predicted autonomous vehicles will be carrying people in the next three-to-five years.

The big investment by Intel validates predictions that autonomous cars will someday come in large numbers, signifying a sea change in the way we all get around, said Timothy Carone, a Notre Dame University professor who has written about the future of automation. “Major players are finding ways finding ways to position themselves for a change as seminal as the personal computer revolution,” he said. Narrow down four to firm performance, its weekly performance was -1.15% and monthly performance was -0.85%. The stock price of INTC is moving down from its 20 days moving average with -2.40% and isolated negatively from 50 days moving average with -3.20%.

ON Semiconductor Corporation (NASDAQ:ON) [Trend Analysis] luring active investment momentum, shares an increase 0.59% to $15.31. ON Semiconductor Corporation (NASDAQ:ON) revealed that it intends to offer, subject to market and other conditions, $500 million aggregate principal amount of Convertible Senior Notes due 2023 in a private offering. The notes will be offered only to qualified institutional buyers in accordance with Rule 144A under the Securities Act of 1933, as amended.

ON Semiconductor also expects to grant to the initial purchasers of the notes a 30-day option to purchase up to an additional $75 million aggregate principal amount of the notes.ON Semiconductor intends to use the proceeds from the offering of the notes (i) to repay a portion of its outstanding indebtedness under its term loan B facility and (ii) to pay related transaction fees and expenses. The offering of the notes is expected to mitigate ON Semiconductor’s interest rate exposure by replacing floating rate debt with fixed rate debt and lowering its cash interest expense. The total volume of 4.39 Million shares held in the session was surprisingly higher than its average volume of 6851.26 shares. EPS estimates indicating constrictive facts, the current year from sell-side analysts, Price to current year EPS stands at -10.00%, and looking further price to next year’s EPS is 18.53%. While take a short look on price to sales ratio, that was 1.64 and price to earnings ratio of 35.60 attracting passive investors.

 

About Richard Avery

He is a capital projects manager and process design engineer at a large-cap company. He has renowned MBA degree. Before joining SWR, he was a freelance writer for renounce tech websites. He is currently studying for CFP exam. Interests: Tech stocks, Economic Markets, Blue-chips.

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