fbpx

How to Buy Intel (INTC) Stock

Share to Linkedin Share to Twitter Share to Facebook Share to Print More
Benzinga Money is a reader-supported publication. We may earn a commission when you click on links in this article. Learn more.

Jump straight to Webull! Get real-time market data, analysis tools and $0 commissions.

Intel Corporation has been a major innovator and driver of the latest information technologies since the late 1960s. The company has evolved to become the world’s largest manufacturer of integrated circuits, motherboard chipsets and network interface controllers. Intel supplies processors to computer manufacturers such as HP, Dell and Lenovo, to name only a few. As a tech stock, Intel is a cyclical stock that typically experiences more price volatility than stocks in other economic sectors. 

Main Takeaways: How to Buy Intel Stock

  • Pick a broker. We recommend Webull, E*TRADE or Ally Invest.
  • Open a demo account. Trade with virtual money before fund your account.
  • Fund your account. You usually can fund your account using a bank transfer, card or physical check.
  • Place an order for Intel stock.

All About Intel: Company and Stock History

Intel Corp. was founded in 1968 in Santa Clara, California. The company originally began making memory chips and was responsible for creating the world’s first metal oxide semiconductor. Intel’s initial public offering (IPO) happened in 1971 by selling shares at $23.50 on the Nasdaq Exchange, and the company’s stock has since gone through 13 stock splits. 

In 1993, Intel introduced the Pentium microprocessor, which marked a major expansion for the company by providing microprocessors for a number of PC manufacturers. Between 2009 and 2019, Intel bought 24 different companies that specialize in security, software, wireless, recognition and other technologies, which continued fueling the company’s expansion. 

Although Intel stock has come a long way from its original IPO price given all the stock splits, its ascent has not been straight up due to a number of factors. Adverse influences include the dot.com bubble, competition from other chip makers, flaws in some of their products and antitrust issues, which have all put pressure on Intel stock’s price at some point in its history. The stock’s biggest move took place in September of 2000 during the dot.com boom’s bubble burst. Below is the twenty-year price chart for the stock.


Twenty-year price chart for INTC with volume figures below. Source: Tradingview

Future Outlook for Intel

Intel stock currently trades at the $55 per share level and is a component of the Dow Jones Industrial Average, as well as the NASDAQ 100 and 500 indices. The stock has had a roller coaster ride, especially since 1999, when the stock rallied sharply during the dot.com bubble, only to subsequently lose three-quarters of its highly inflated market cap in the ensuing downside correction. 

In the last 10 years, Intel stock traded as low as $12.50 in January of 2009 in the wake of the 2008 global financial crisis and up to a high of $59.59 per share that it achieved in April of 2019. In addition to INTC stock trading cyclically with the rest of the stock market and business cycle, the stock’s price is strongly affected by world semiconductor demand, current tech innovations and the position and market share of its competitors in the industry. 

Most recently, Intel’s stock price has been recovering from the ongoing coronavirus pandemic. As of January 2021, the semiconductor company’s 52-week high is $68.09 and 52-week low is $43.61. Shares of Intel trade around $55 at time of publication.

Furthermore, Intel’s financial results for its fourth quarter 2020 were released on January 21, 2021. For the fourth quarter, Intel reported adjusted earnings of $1.52 per share, beating the Wall Street estimate of $1.10. Quarterly sales grew to $19.9 billion, beating the estimate of $17.5 billion.

Intel stock currently trades at a price/earnings (P/E) ratio of 11.07, which is extremely low for a tech company. The low P/E indicates that the price of the stock could be undervalued if no other factors are considered. One reason for the low valuation of Intel stock could be the market’s perception of Intel’s difficulty competing with Advanced Micro Devices (AMD) and Nvidia in the latest generation of the chip market. 


Annual, quarterly and trailing 12-month revenue growth for Intel Corp. Source: Macrotrends.

Why You Might Want to Buy It

  • Leader in a volatile industry: Despite competition from other semiconductor manufacturers, Intel has the advantage of technical innovations, market share and customer base. If the assessment of some analysts is correct, then Intel stock at current price levels could be an excellent opportunity for investors. 
  • Historically undervalued: Intel stock only trades at roughly 11 times earnings, while the average P/E ratio for industry competitors is much higher. AMD trades at 44 P/E ratio and Nvidia at 85.

Considerations Before You Buy

  • Possible future stock market and economic downturn: As it did during the onset of the coronavirus pandemic, Intel could decline significantly during a market downturn.
  • Highly competitive environment: Intel’s chips compete with AMD’s. Also, Nvidia and Qualcomm are set to compete in the Adaptive Driver Assistance Systems (ADAS) market, which is already dominated by Intel’s Mobileye. This could cost Intel even more of its market share in the industry.  
  • Flaws in products: In January of 2018, 2 security vulnerabilities, known as Meltdown and Spectre, were detected that affect Intel x86 and AMD microprocessors, IBM power processors and several Advanced RISC Machine (ARM)-based microprocessors. Meltdown takes advantage of a condition inherent in the design of the affected CPUs and allows a process to run that bypasses normal privilege checks and gains access to the computer’s operating system and other processes.

How You Can Buy Intel Stock

Intel stock can be bought through any reputable stockbroker with access to trade stocks on the Nasdaq (NASDAQ) exchange. If you plan to buy Intel stock for the long-term with a goal of capital appreciation and dividend income, then you might want to open an account with a discount broker. You’d save on commissions when you pick a discount broker, but you probably wouldn’t get access to extras like research that you might get from a full-service broker.  

Brokers with an online presence offer different services and fees. For example, some brokers charge customers an inactivity fee for idle accounts, while financial platforms such as Webull offer stock brokerage free of charge. Keep in mind that how you buy Intel stock is just as important as the broker you choose, so make sure you pick the right broker for your situation.

Step #1: Pick a Broker

Know your needs: Some brokers offer advanced trading platforms, access to international markets and other tradable assets. Other brokers provide educational material for clients with limited experience. Certain brokers might able to fill your needs better than others, so determine what your needs are before you choose. 

Here are some of our favorites.

Best For
Intermediate Traders and Investors
Overall Rating
Get started securely through Webull’s website
Best For
Intermediate Traders and Investors
N/A
1 Minute Review

Webull, founded in 2017, is a mobile app-based brokerage that features commission-free stock and exchange-traded fund (ETF) trading. It’s regulated by the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA).

Webull offers active traders technical indicators, economic calendars, ratings from research agencies, margin trading and short-selling. Webull’s trading platform is designed for intermediate and experienced traders, although beginning traders can also benefit.

Webull is widely considered one of the best Robinhood alternatives.

Best For
  • Active traders
  • Intermediate traders
  • Advanced traders
Pros
  • Commission-free trading in over 5,000 different stocks and ETFs
  • No account maintenance fees or software platform fees
  • No charges to open and maintain an account
  • Leverage of 4:1 on margin trades made the same day and leverage of 2:1 on trades held overnight
  • Intuitive trading platform with technical and fundamental analysis tools
Cons
  • Does not support trading in mutual funds, bonds or OTC stocks
Best For
Beginners
Overall Rating
get started securely through Robinhood’s website
Best For
Beginners
N/A
1 Minute Review

Robinhood is the broker for traders who want a simple, easy-to-understand layout without all the bells and whistles other brokers offer. Though its trading options and account types are limited, even an absolute beginner can quickly master Robinhood’s intuitive and streamlined platform. On the other hand, more advanced traders might be frustrated by Robinhood’s lack of technical analysis tools, a feature that’s now nearly universal across other platforms.

Best For
  • Beginner traders
  • Mobile traders
Pros
  • Streamlined, easy-to-understand interface
  • Mobile app with full capabilities
  • Can buy and sell cryptocurrency
Cons
  • Almost no trading analysis tools available
  • Only taxable brokerage accounts available
  • No option to open a retirement account
  • No access to mutual funds, forex or futures trading
  • Limited customer service
Best For
Inexpensive Options Trading
Overall Rating
get started securely through Tradier’s website
Best For
Inexpensive Options Trading
N/A
1 Minute Review

Tradier is a high-tech broker made with the most active traders in mind. Tradier differentiates itself by using Application Programming Interface (API) technology to partner with popular trading software to offer a wide range of platform choices to Investors. Tradier brokerage offers integration with one of the widest ranges of platforms we’ve seen, including Esignal, Orion Multi Trader, Stockstotrade, 1Option, Evati, and many, many more. 

Tradier offers 2 pricing options — infrequent traders may want to opt for Tradier’s 0 Stocks and $0.35 per Options contract trading, while very active traders can often save money by opting into Tradier’s $30 monthly all-inclusive option and Equity, which cuts commissions entirely.

Tradier TradeHawk platform is exceptionally impressive, combining intuitive 1-click order placements with a vast range of indicators and charting tools. TradeHawk is also completely compatible with both Apple and Android mobile devices. Though we’d love to see Tradier expand into mutual funds and offer a bit more in the way of educational tools, the broker remains a top choice for advanced traders and those looking for enhanced customization options.

Best For
  • Very active options traders who would benefit from a flat-rate monthly charge instead of per-contract fees.
  • Advanced traders looking for a customizable broker with a wide range of platforms that can be integrated.
  • Prominent options traders get high-quality execution, real-time market data and subscription trading.
Pros
  • Wide range of integrated platforms provide an option for any trader.
  • All-inclusive per-month subscriptions available in lieu of per-contract commissions can potentially save very active traders hundreds of dollars a month.
  • Platforms are powered by quality real-time market data and execution.
  • Paper trading and Sandbox building mode allows particularly tech-savvy traders to create a platform and strategies customized to their preferences and needs.
  • Exceptionally affordable margin rates.
Cons
  • While good for active traders, newer traders may prefer a platform with fewer integration choices and a more streamlined approach.
  • No online mutual funds currently available.
Best For
Mobile Investing
Overall Rating
get started securely through SoFi’s website

Step #2: Open a Demo Account 

Many online stock brokers offer a risk-free virtual or demo account so you can trade with virtual money, which provides a great way to assess a broker’s trading platform and execution services. Opening several of these accounts with different brokers will give you insight into their services and help you in your selection. 

Step #3: Fund an Account

Once you’ve picked a broker and have had the chance to assess its platform, you can now fund your account to make your Intel stock purchase. Methods you can use to fund an account can vary from broker to broker, so make sure you meet all of the requirements for funding an account with your chosen broker. 

Step #4: Start Buying Intel Stock

Once you have opened a live account with a broker, it’s now time to buy your INTC stock. Ideally, you could watch Intel stock to determine an optimum buying price using technical analysis. Place an order at the price and for the amount of stock you wish to purchase. 

Is Intel Stock for You?

Tech stocks generally trade in a volatile manner, so if you don’t like roller coasters, you might want to pick a more defensive economic sector to invest in. Nevertheless, if you aren’t very risk-averse and have a positive outlook on both the U.S. economy and Intel’s business, then Intel might be a good investment since it has a low valuation relative to the rest of its sector.

Want to learn more about trading stocks? Check out Benzinga’s guides to the best online brokerages, the best investing courses and how to buy stocks for beginners.

Turn to Webull

0 Commissions and no deposit minimums. Everyone gets smart tools for smart investing. Webull supports full extended hours trading, which includes full pre-market (4:00 AM - 9:30 AM ET) and after hours (4:00 PM - 8:00 PM ET) sessions. Webull Financial LLC is registered with and regulated by the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA). It is also a member of the SIPC, which protects (up to $500,000, which includes a $250,000 limit for cash) against the loss of cash and securities held by a customer at a financially-troubled SIPC-member brokerage firm.