Intel equity, debt and subsidiaries

Accuracy score :
97%

Summary (from the latest annual and quarterly report)

  • Total equity: 82 billion USD
  • Market Cap is 206 billion USD ( the last price of the stock is 48.69 USD)
  • Intel Corporation provides computing, networking, data storage, and communication solutions worldwide. It operates through Data Center Group, Internet of Things Group, Non-Volatile Memory Solutions Group, Programmable Solutions Group, Client Computing Group, and All Other segments
  • Total stockholders' equity has increased from 77 billion USD in 2019 to 82 billion in 2020
  • The company has 8.7 billion USD in cash on account
  • Total equity – cash on account = 82 billion USD – 8.7 billion USD = 73.3 billion USD
  • In Jun 2020 long-term debt was 36 billion USD, short – term debt was 2 billion USD. (In 2019 total debt was 29 billion USD)
  • The company's revenue has increased in 2019 to 71.9 billion USD from 70.8 billion in 2018
  • Net income in 2019 was 21.04 billion USD, Net income in 2018 was 21.05 billion USD
  • In 2019 the company has paid 5.5 billion USD dividend to its shareholders

 

Opinion about the company

Fundamentally it is a good company and in the future, we can expect its growth (Total debt is 38 billion USD, big amount of cash on the company's account, ROE is around 30 %).

Intel Corporation is an American multinational corporation and technology company headquartered in Santa Clara, California, in Silicon Valley. It is the world's largest and highest valued semiconductor chip manufacturer based on revenue, and is the inventor of the x86 series of microprocessors, the processors found in most personal computers (PCs). Intel supplies microprocessors for computer system manufacturers such as Apple, Lenovo, HP, and Dell. Intel also manufactures motherboard chipsets, network interface controllers and integrated circuits, flash memory, graphics chips, embedded processors and other devices related to communications and computing. Outside the United States, the company has facilities in China, Costa Rica, Malaysia, Israel, Ireland, India, Russia, Argentina and Vietnam, in 63 countries and regions internationally.

Intel Corporation was founded on July 18, 1968 by semiconductor pioneers Robert Noyce and Gordon Moore (of Moore's law), and is associated with the executive leadership and vision of Andrew Grove. The company's name was conceived as portmanteau of the words integrated and electronics, with co-founder Noyce having been a key inventor of the integrated circuit (the microchip). The fact that "intel" is the term for intelligence information also made the name appropriate. Intel was an early developer of SRAM and DRAM memory chips, which represented the majority of its business until 1981. Although Intel created the world's first commercial microprocessor chip in 1971, it was not until the success of the personal computer (PC) that this became its primary business.

Operating segments

  • Client Computing Group – 53% of revenues – produces hardware components used in desktop and notebook computers
  • Data Center Group – 33% of revenues – produces hardware components used in server, network, and storage platforms
  • Internet of Things Group – 4% of revenues – offers platforms designed for retail, transportation, industrial, buildings and home use.
  • Non-Volatile Memory Solutions Group – 5% of revenues – manufactures NAND flash memory and 3D XPoint, branded as Optane, products primarily used in solid-state drives
  • Intel Security Group – 3% of revenues – produces software, particularly security, and antivirus software
  • Programmable Solutions Group – 2% of revenues

Intel is one of the biggest stakeholders in the self-driving car industry, having joined the race in mid 2017 after joining forces with Mobileye. The company is also one of the first in the sector to research consumer acceptance, after an AAA report quoted a 78% nonacceptance rate of the technology in the US.

Major competitors

Competitors in PC chipsets include Advanced Micro Devices, VIA Technologies, Silicon Integrated Systems, and Nvidia. Intel's competitors in networking include NXP Semiconductors, Infineon, Broadcom Limited, Marvell Technology Group and Applied Micro Circuits Corporation, and competitors in flash memory include Spansion, Samsung, Qimonda, Toshiba, STMicroelectronics, and SK Hynix.

The only major competitor in the x86 processor market is Advanced Micro Devices (AMD), with which Intel has had full cross-licensing agreements since 1976: each partner can use the other's patented technological innovations without charge after a certain time.  However, the cross-licensing agreement is canceled in the event of an AMD bankruptcy or takeover.

 

 Standalone subsidiaries and acquisitions :

  • In 2009, Intel acquired Wind River Systems for 884 million USD
  • In 2010, Intel purchased McAfee, a manufacturer of computer security technology, for 7.68 billion USD
  • In August 2010, Intel acquired Infineon for 1.4 billion USD
  • In 2011, Intel acquired Telmap for 300 million USD
  • In 2011, Intel acquired Invision for 60 million USD
  • In 2013, Intel acquired Mashery for 180 million USD
  • In 2013, Intel acquired Stonesoft Corporation for 389 million USD
  • In 2013, Intel also acquired Omek Interactive, Indisys, BASIS for an undisclosed amount (worth around 300 million USD)
  • In 2014, Intel acquired Avago Technologies for 650 million USD
  • In the period from 2014 - 2016, Intel acquired Vuzix, Lantiq, Recon, Saffron Technology, Ascending Technologies, Replay Technologies and Yogitech - worth around 500 million USD
  • In June 2015, Intel announced its agreement to purchase FPGA design company Altera for 16.7 billion USD, in its largest acquisition to date. The acquisition completed in December 2015
  • In August 2016, Intel purchased deep-learning startup Nervana Systems for 350 million USD
  • In December 2016, Intel acquired computer vision startup Movidius for 400 million USD
  • In March 2017, Intel announced that they had agreed to purchase Mobileye, an Israeli developer of "autonomous driving" systems for 15.3 billion USD
  • In 2018 -2019, Intel acquired eASIC and Omnitek for an undisclosed amount (around 100 million USD)
  • In 2019, Intel acquired Habana Labs for 2 billion USD
  • In 2020, Intel acquired Moovit and Rivet Networks - worth 1 billion USD
  • In the last 20 years, Intel had also lots of smaller acquisitions worth around 1 billion USD

 

Total = 45.2 billion usd

 

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