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The Zacks Analyst Blog Highlights: Intel, Microsoft, Cisco, IBM and NVIDIA

For Immediate Release

Chicago, IL – August 15, 2017 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog includeIntel (NASDAQ:INTC – Free Report), Microsoft (NASDAQ:MSFT – Free Report), Cisco (NASDAQ:CSCO – Free Report), IBM (NYSE:IBM – Free Report) and NVIDIA (NASDAQ:NVDA – Free Report).

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Here are highlights from Monday’s Analyst Blog:

Should You Invest in Intel (INTC) Now?

Gone are the days when a single company could dominate any aspect of technology to the exclusion of all others. That was how the tech world started out, with Intel (NASDAQ:INTC – Free Report) dominating chips, Microsoft (NASDAQ:MSFT – Free Report) operating systems, Cisco (NASDAQ:CSCO – Free Report) networking, IBM (NYSE:IBM – Free Report) computers, and so on.

Intel has enjoyed its dominance long enough, first in client devices and then in servers. And there’s little reason to think that its position in these two markets will shrink materially, at least in the next few years. So even as growth in the client computing market remains elusive and its data center business remains impacted by transition issues at enterprises, Intel will still generate substantial cash flows.

We can rue over the company’s missing out on the huge mobile opportunity, but let’s also remember that the market doesn’t offer good margins and isn’t that compute intensive, which is Intel’s core expertise. This is partly why Intel tried and failed to grab a toe-hold in the segment. So what’s the next big growth engine for Intel that it simply can’t afford to miss out on? And is the company devoting adequate resources to the area that will bear fruit in time for it to generate some growth for investors?

Enter Artificial Intelligence

We’ve been told from the start that graphic processing units (GPUs) are best suited in situations where parallel processing is required because that’s what they do to help the machine understand images and video. So when computer models called deep neural networks (DNNs) are built replicating the logic patterns of human brains (to read input signals in sounds, pictures and text), GPUs prove very effective. Sequential processing isn’t required until this information is properly categorized and a decision with respect to them is required, which is when Intel’s processors enter the picture.

Does this mean that there’s no scope for Intel technology in a segment of this emerging high-compute market? That may not be the case. Intel closed its $16.7 billion acquisition of field-programmable-gate-array (FPGA) maker Altera in Dec 2015 after working together for a...


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