Intel (INTC) isn’t the sexiest pick right now in a post-PC age, since the lion’s share of its business still comes from the semiconductors used in laptop and desktop computers. However, with a whopping 4% dividend that is less than half of its current earnings and a backstop of $4.7 billion in annual cash flow, it’s not like INTC is disappearing anytime soon.
What’s more, Intel continues to innovate with big R&D spends on new projects such as an ambitious mobile chip push and an even more interesting foray into the television space with a set-top TV box that might stream shows directly into your home over the Internet.
And if these projects don’t pan out? Well, a lot of negativity has been priced in and the 4% dividend is a great fallback for long-term investors.