Imagine buying Intel Corporation (NASDAQ: INTC) before the recent run to new all-time highs…
There’s no use crying over missed setups… especially when there’s an almost identical stock on the move right now!
It’s in the same sector, and at a similar price level, but it hasn’t broken out yet…
The microchip-tech sector is surging with huge trading volume right now, and it could easily continue into the end of the month.
Money’s rotating toward underpriced names, like INTC before it broke out.
And my newest pick is next in line…
Don’t buy shares of these stocks. That’s how you waste a perfectly good trade opportunity.
Instead, buy options contracts that spike exponentially higher than the underlying stock.
Time is ticking!
Get your eyes on this setup…
The INTC Stock Tracking Behind
INTC and my newest stock pick are different companies, but they’re in the same sector.
A lot of the momentum we see in the market right now is purely sector-related.
- AI bubble fears cause high-value tech stocks to selloff.
- The war in Iran causes oil stocks to jump.
- The NASA space initiative and SpaceX IPO cause space stocks to spike.
When we’re trading short-term momentum in the market, a stock’s financials don’t matter as much. It’s all about the catalyst and the stock’s relation to the catalyst.
Right now:
High-value tech stocks took a hit at the beginning of the year, and the war in Iran didn’t help. But after more than a month of the Middle East conflict and hopes that the recent tech selloff satisfied AI bubble fears, we’re seeing money move back into the tech sector.
And it’s flowing into underpriced names….
Like INTC, and soon: Microchip Technology Incorporated (NASDAQ: MCHP).
The MCHP chart already shows momentum toward the highs at $82.86, from February 12:
Use this strategy to trade it.
This sector momentum is incredibly strong as it is.
But INTC and MCHP share more than a hot sector…
Key Similarities
You’re not going to get this kind of analysis from Yahoo Finance…
Friends, welcome to the big leagues:
1. They’re Semiconductor Companies Benefiting from the AI Wave
Both companies are pivoting heavily toward AI as a growth driver.
Intel’s CEO noted that “AI is accelerating demand for compute and creating attractive opportunities across our portfolio.”
Similarly, MCHP extended its edge AI offering with full-stack solutions for real-time inferencing in industrial, automotive, data center, and consumer IoT networks.
2. Both Include FPGA Products
A Field-Programmable Gate Array (FPGA) is an integrated circuit that’s designed to be programmed by the user after manufacturing.
This is a notable overlap in product portfolios. Intel has its FPGA business (Altera), which it recently partially divested. Microchip likewise offers FPGA products as part of its Total System Solutions strategy.
Both companies compete in a similar niche of programmable logic alongside their core chip offerings.
3. Both Are Beneficiaries of the U.S. CHIPS Act
Both companies are receiving federal support to onshore domestic semiconductor production.
Intel received $8.9 billion in funding from the U.S. government under the CHIPS Act to support its manufacturing buildout in Ohio and Arizona.
Meanwhile, MCHP received $162 million in federal funding, currently being used to triple domestic production in Colorado and Oregon.
4. Both Are Executing Active Turnaround / Recovery Plans
Intel’s turnaround is led by CEO Lip-Bu Tan under its “IDM 2.0” strategy, focused on manufacturing recovery and AI product launches.
MCHP is executing its own structured plan. CEO Steve Sanghi highlighted earlier this year: “substantial progress on most elements of our nine-point recovery plan.”
5. Both Are U.S.-Headquartered with Global Manufacturing Exposure
Intel is headquartered in Santa Clara, CA, with fabs in Arizona, Oregon, Ireland, and Israel.
Microchip is headquartered in Chandler, AZ, with manufacturing in Colorado and Oregon.
They’re both exposed to geopolitical risks around supply chains while simultaneously positioned as beneficiaries of the “western-made” chip preference trend.
My Position
I’m buying calls on MCHP with an expiration of 5/15/26 and a strike price of $72.50.
This gives me more than a month of runway, which is really important right now.
There are still plenty of global catalysts that create short-term noise. And an ill-timed trade could fail due to volatility that has nothing to do with the underlying setup.
The cushion of extra time allows MCHP to breathe while the sector momentum builds.
The thesis is simple: MCHP is tracking behind INTC in a sector that’s already proven it’s ready to spike. The chart is pushing toward the highs from February and I’m positioned for the move.
And while we’re waiting for MCHP to catch up… There’s another urgent catalyst that’s about to hit the market.
Earnings season starts Monday, April 13.
Four times a year, the market gets a jolt of hard data. Some stocks will move 10%, 15%, even 20%+ in a single session next week.
And the options contracts will go absolutely bananas.
Most traders treat these earnings setups as coin flips. They gamble…
Sometimes they win big. But more often, they blow up.
Don’t gamble on these incredible opportunities! Instead, use the Earnings Edge system:
- Six years of backtested data
- 850+ stocks
- Patterns that repeat with statistical significance
Eliminate all the guessing. These are the strongest trade setups backed by statistics and mathematics.
In 2025, this strategy produced 100 consecutive winning trades and grew a $3,000 account to over $32,000 in just 52 days.*
The first trade setup is on Monday, April 13…
Miss this window, and you’re waiting another three months for the next batch of earnings winners.
Look alive, we’re only a few days away!
Stay Street Smart,
Jeff Zananiri
*Past performance does not indicate future results, Not typical.
