Intel Corporation (NASDAQ:INTC) kept active in under and overvalue discussion, INTC holds price to book ratio of 2.78 that presents much better indicator to find market price of a share price over its book value of equity for investment valuation. In addition, the firm has price to earnings ratio of 17.43, which is authentic method to judge but not universal for all situation.
Intel (INTC) plans to gain upper hand in the budding field of artificial intelligence with a new lineup of chip products in 2017, a senior executive said. VP Raejeanne B. Skillern’s comments came as Intel’s main competitor in AI chip market, Nvidia, is working with Taiwan Semiconductor Manufacturing Co. on chip products that can handle massive amounts of video, images and voice recognition tasks.
“Nvidia has gotten a very tiny piece of the market right now,” Skillern told the Nikkei Asian Review in early December. “We take the competition very seriously. … But Intel’s investment and the products you are going to see in 2017, I think, will change the tide.”
Fundament/ News Factor in Focus
Taking look on ratio analysis, INTC has forward price to earnings ratio of 13.19, compare to its price to earnings ratio of 17.43. Adding one more ration to find detail valuation of security, price to earnings growth ration that stands at 1.74. The co is presenting price to cash flow as 9.88 and while calculating price to free cash flow it concluded at 30.70, the low single digit may indicate stock is undervalued and vice versa. On other hand, keeping in mind stable cash flows but few growth prospects make traders to value lower.
The firm has price volatility of 1.00% for a week and 1.67% for a month. Its beta stands at 1.07 times. Narrow down four to firm performance, its weekly performance was 0.49% and monthly performance was 4.60%.
Electronic Arts Inc. (NASDAQ:EA) runs in leading trade, it slightly down -0.86% to traded at $80.38. EA attains analyst recommendation of 2.00 on scale of 1-5 with week’s performance of 1.99%.
To find out the technical position of EA, it holds price to book ratio of 6.76 that unearth high-growth companies selling at low-growth prices, but it requires appropriate measurement approach. It has forward price to earnings ratio of 19.42, and price to earnings ratio calculated as 20.65. The price to earnings growth ration calculated as 1.25. EA is presenting price to cash flow of 7.47 and free cash flow concluded as 23.79.
EPS estimates indicating constrictive facts, the current year from sell-side analysts, Price to current year EPS stands at 30.10%, and looking further price to next year’s EPS is 12.99%. While take a short look on price to sales ratio, that was 5.37 and price to earning ration of 20.65 attracting passive investors.