Intel posted a quarterly profit that beat the average Wall Street estimate. The top computer chip maker owes the success to new high-end processors. Intel"s fourth-quarter net profit was $1.5 billion, or 26 cents per share, compared to the Wall Street Journal"s forecast of $1.44 billion, or 25 cents per share. Revenue was $9.69 billion, down 5% from $10.2 billion last year, but ahead of the average forecast of $9.43 billion.
Thanks to the price war Intel and AMD are in, Intel shares have fallen nearly 15% while AMD"s have dropped almost 50%, over the past year. AMD has been hurt pretty badly by the price war. The company"s stock is valued at 11.6 times expected 2007 profit, compared to nearly 19 times for Intel shares.