What's wrong with INTC? Not a thing, actually. It should be trading over $25 right now, but isn't. Put simply, it's not margins or expectations or growth prospects. Well ok, it's a little bit about growth prospects.
But to put it simply, I think INTC is suffering from the competition of investors' hard earned dollars. Do you want to chase INTC and their very cheap forward PE of 10 and PEG of .75:1 (depending on cash)? Or would you rather buy a QCOM or AAPL, which have very similar forward PEs but with a PEG of about half that for each. Same for MSFT, ORCL and CSCO.
On the other hand, you have names like JDSU, or other fiber players that might be very cheap on renewed earnings; and with a stellar EPS growth rate to boot.
So again, INTC suffers from investment competition/comparison. At some point they play catchup; but I suspect that happens when AAPL is over $300, BRCM is over $44 and CSCO is over $30.......
long INTC; AAPL