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Company name Intel Corporation
Stock ticker INTC
Live stock price [stckqut]INTC[/stckqut]
P/E compared to competitors Good

MANAGEMENT EXECUTION

Employee productivity Good
Sales growth Fair
EPS growth Good
P/E growth Poor
EBIT growth Good

ANALYSIS

Confident Investor Rating Good
Target stock price (TWCA growth scenario) $16.31
Target stock price (averages with growth) $24.74
Target stock price (averages with no growth) $27.2
Target stock price (manual assumptions) $17.76

The following company description is from Google Finance: http://www.google.com/finance?q=intc

Intel Corporation designs and manufactures integrated digital technology platforms. A platform consists of a microprocessor and chipset. The Company sells these platforms primarily to original equipment manufacturers (OEMs), original design manufacturers (ODMs), and industrial and communications equipment manufacturers in the computing and communications industries. The Company’s platforms are used in a range of applications, such as personal computers (PCs) (including Ultrabook systems), data centers, tablets, smartphones, automobiles, automated factory systems and medical devices. On February 2012, QLogic Corp. sold the product lines and certain assets associated with its InfiniBand business to the Company. In May 2012, Cray Inc. completed the sale of its interconnect hardware development program and related intellectual property to the Company. In September 2012, InterDigital, Inc.’s subsidiaries sold around 1,700 patents and patent applications to the Company.

 

Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in this stock as long as the price is correct. Most of the fundamentals of this company are good, in fact the company ranks as a Good company, but there are some concerns with the price of the stock and overall growth.  I will not be adding this stock to my Watch List.

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The Big Picture created a top ten list of the most common mistakes that investors tend to make. I really like the list so I put the highlights here. If you want to read the entire description and discussion, click over to the article and learn a bit.

My favorite “error” is number 3 ‘You and your behavior is your own worst enemy.’ I see this frequently. People hear about a “cool stock” at a holiday party and buy it on Monday. Or they hear about a hot technology on some talk show and then try to invest in that rapidly growing field.

  1. High fees are a drag on returns
  2. Reaching for yield
  3. You (and your behavior) are your own worst enemy
  4. Mutual funds vs exchange-traded funds
  5. Asset allocation matters more than stock picking
  6. Passive vs. active management
  7. Not understanding the long cycle
  8. Cognitive errors
  9. Confusing past performance with future potential
  10. When paying fees, get what you pay for

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Company name Best Buy Co., Inc.
Stock ticker BBY
Live stock price [stckqut]BBY[/stckqut]
Confident Investor Rating Poor

The following company description is from Google Finance: http://www.google.com/finance?q=bby

Best Buy Co., Inc. is a multinational retailer of consumer electronics, computing and mobile phone products, entertainment products, appliances and related services. The Company operates retail stores and call centers, and conducts online retail operations under a range of brand names, such as Best Buy (BestBuy.com, BestBuy.ca), Best Buy Mobile (BestBuyMobile.com), The Carphone Warehouse (CarphoneWarehouse.com), Five Star, Future Shop (FutureShop.ca), Geek Squad, Magnolia Audio Video, Pacific Sales and The Phone House (PhoneHouse.com). During the fiscal year ended March 3, 2012 (fiscal 2012), it operated in two segments: Domestic and International. During fiscal 2012, it opened 135 new stores and closed five stores in its Domestic segment. During fiscal 2012, it opened 219 new stores, within its Best Buy Europe and Five Star operations, and closed 114 stores in its International segment, within its Best Buy Europe business.
Confident Investor comments: At this price and at this time, I do not think that a Confident Investor can confidently invest in this stock. It is not possible to confidently invest in a company that is not currently profitable.

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Company name Starbucks Corporation
Stock ticker SBUX
Live stock price [stckqut]SBUX[/stckqut]
P/E compared to competitors Good

MANAGEMENT EXECUTION

Employee productivity Poor
Sales growth Fair
EPS growth Good
P/E growth Fair
EBIT growth Good

ANALYSIS

Confident Investor Rating Fair
Target stock price (TWCA growth scenario) $72.01
Target stock price (averages with growth) $96.94
Target stock price (averages with no growth) $71.2
Target stock price (manual assumptions) $68.23

The following company description is from Reuters: http://www.reuters.com/finance/stocks/companyProfile?rpc=66&symbol=SBUX.O

Starbucks Corporation (Starbucks), incorporated on November 4, 1985, is a roaster, marketer and retailer of specialty coffee, operating in more than 50 countries. Starbucks purchases and roasts whole bean coffees that it sells, along with handcrafted coffee and tea beverages and a variety of fresh food items, through Company-operated stores. The Company also sells a variety of coffee and tea products and licenses its trademarks through other channels, such as licensed stores, grocery and national foodservice accounts. In addition to its flagship Starbucks brand, its portfolio also includes Tazo Tea, Seattle’s Best Coffee, and Starbucks VIA Ready Brew. Starbucks has three operating segments: United States (US), International, and Global Consumer Products Group (CPG). Its Seattle’s Best Coffee operating segment is reported in Other with its Digital Ventures business. As of October 2, 2011, the Company operated 9,031 stores and 4,776 licensed stores. During the fiscal year ended October 2, 2011 (fiscal 2011), in the United States, 49 Company-operated stores were opened, and 51 were closed. Internationally, 180 Company-operated stores were opened, and 36 stores were closed. In October 2010, the Company acquired Magic Johnson Enterprise’s remaining 50% interest in Urban Coffee Opportunities. In November 2011, the Company acquired Evolution Fresh, Inc.

 

Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in this stock as long as the price is correct. Most of the fundamentals of this company are good but there are some concerns.

 

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Company name McDonald’s Corporation
Stock ticker MCD
Live stock price [stckqut]MCD[/stckqut]
P/E compared to competitors Good

MANAGEMENT EXECUTION

Employee productivity Poor
Sales growth Poor
EPS growth Good
P/E growth Poor
EBIT growth Good

ANALYSIS

Confident Investor Rating Fair
Target stock price (TWCA growth scenario) $76.73
Target stock price (averages with growth) $92.68
Target stock price (averages with no growth) $82.48
Target stock price (manual assumptions) $81.17

The following company description is from Google Finance: http://www.google.com/finance?q=mcd

McDonald’s Corporation franchises and operates McDonald’s restaurants in the global restaurant industry. These restaurants serve a menu at various price points providing value in 119 countries globally. As of December 31, 2011, of the 33,510 restaurants in 119 countries 27,075 were franchised or licensed (including 19,527 franchised to conventional franchisees, 3,929 licensed to developmental licensees and 3,619 licensed to foreign affiliates (affiliates)-primarily Japan) and 6,435 were operated by the Company. McDonald’s menu includes hamburgers and cheeseburgers, Big Mac, Quarter Pounder with Cheese, Filet-O-Fish, several chicken sandwiches, Chicken McNuggets, Snack Wraps, French fries, salads, oatmeal, shakes, McFlurry desserts, sundaes, soft serve cones, pies, soft drinks, coffee, McCafe beverages and other beverages.

 

Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in this stock as long as the price is correct. Most of the fundamentals of this company are good but there are some concerns.