The Zacks Analyst Blog Highlights: Intel, Qualcomm, Google, AT&T and Verizon Communications

For Immediate Release

Chicago, IL – September 30, 2014 – 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 include the Intel Corporation (INTC-Free Report), Qualcomm Inc. (QCOM-Free Report), Google (GOOGL-Free Report), AT&T Inc. (T-Free Report) and Verizon Communications Inc. (VZ-Free Report).

Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.

Here are highlights from Monday’s Analyst Blog

Intel Invests $1.5B to Boost Presence in China

Intel Corporation (INTC-Free Report) recently invested $1.5 billion to purchase a 20% stake in two Chinese chipmakers, in a bid to gain traction in the smartphone chip market reigned by Qualcomm Inc. (QCOM-Free Report). The deal awaits government approval.

Intel will buy a stake in Spreadtrum Communications and RDA Microelectronics, both owned by Tsinghua Unigroup. Both companies are leading China-based fabless semiconductor companies, which create chipsets for mobile devices and other consumer electronics products that support 2G, 3G and 4G wireless communications. Tsinghua Unigroup is a state-funded private equity corporation controlled by Tsinghua University in Beijing.

While Intel has for long dominated the chip market for personal computers, it has been struggling to spur growth in the smartphone and tablet markets. The investment seems to be a sensible move, as it will help Intel broaden its foothold in the Chinese mobile chip market by reaching out to a larger audience with products based on its technology.

The deal is particularly important because of the decline in sales of high-end mobile devices in North America, which prompted more and more manufacturers to turn to low-end smart devices designed for customers in China.

Previously, in May, Intel signed an agreement with Rockchip, a Chinese mobile chipmaker in a bid to produce chips for cheap tablet computers running on Google’s (GOOGL-Free Report) Android operating system.

Intel seems determined to meet its target of 40 million tablet units this year. The main hurdle for Intel has been the level of integration required in mobile devices, an area where it is yet to build expertise. The agreement illustrates the fact that Intel is unwilling to leave anything on the table in its race to take share in this fast-growing market.

Following the purchase of the stake, Intel will co-develop Intel-based chips with Spreadtrum which will be available to Spreadtrum’s domestic phone-manufacturing customers from mid-2015.

Intel currently holds a Zacks Rank #3 (Hold).

Big Telecom Turns Again to SMB Market

Large telecom operators are yet again eyeing the small and mid-sized business (SMB) service market to reclaim their long-lost glory. During the last 5-6 years, the SMB segment has become a major growth driver for the cable MSOs (multi service operators) and regional communications service providers, who sidelined telecom operators using high-speed metro Ethernet link over the traditional T1 and DSL link.

Meanwhile, significant improvement in the business data and video traffic is expected to act as a future growth catalyst for the overall telecom industry. Various industry researches estimate that the SMB segment may offer a market opportunity of $20 -$30 billion in the long-run. This massive market opportunity may encourage telecom giants to restructure their SMB market strategy.

AT&T Inc. (T-Free Report) is rapidly expanding its fiber-based U-verse network and has announced a new high-speed asymmetric 25 Mbps service for $50 per month to all SMBs located within its U-Verse footprint. Meanwhile, Verizon Communications Inc. (VZ-Free Report), which is rolling out its fiber-based FiOS Internet service, has decided to offer a free SpeedMatch for SMBs who opt for the FiOS service.

Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.

Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.

Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today.

About Zacks

Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978. The later formation of the Zacks Rank, a proprietary stock picking system; continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros.

Get the full Report on INTC - FREE
Get the full Report on QCOM - FREE
Get the full Report on GOOGL - FREE
Get the full Report on T - FREE
Get the full Report on VZ - FREE

Follow us on Twitter: http://twitter.com/zacksresearch

Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts

Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.

Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
support@zacks.com
http://www.zacks.com


Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.


Read the analyst report on INTC

Read the analyst report on QCOM

Read the analyst report on GOOGL

Read the analyst report on T

Read the analyst report on VZ


Zacks Investment Research

Advertisement