Intel stock ‘falling like rock’ because it’s not white enough — Chuck C. Johnson

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Intel will also employ shadow people in the future, it seems.
Intel will also employ shadow people in the future, it seems.
Award Winning Journalist™ and now investment adviser Chuck C. Johnson blames a diversity initiative for Intel’s recent share price losses. IOW, Intel is not white enough.

He’s made similar claims about Netflix and Twitter, the latter of which booted him off its service last Memorial Day weekend.

Here’s Johnson’s argument, such as it is.

In January Intel CEO Brian Krzanich announced a $300 million diversity in technology initiative at CES. The aim was to make Intel’s workforce more inclusive of women and under-represented minorities.

On Jan. 6 2015, the day of that announcement, $INTC closed at $35.95. On April 29, 2016, it closed at $31.11, a 13.5% decrease. Last month, Intel announced it would lay off 12,000 employees worldwide, about 11% of its total workforce.

To Johnson, this means Intel is doomed.

It's doomed, doomed, I say!
It’s doomed, doomed, I say!

He claims that companies that get involved in Social Justice Warrior causes — alt-right-speak for anything helping non-white, non-male people — will lose market share and die.

We are not financial analysts, but we’re calling bullshit. If you follow his advice and short the stock, and get clobbered, don’t come crying to us.

For reference, here are charts from Yahoo Finance showing Intel’s share price for the last year, and for the last ten. While $INTC has not spectacularly well in the last year, we detect a 10-year trend, and it’s not downward.

Yeah, plummeting like a rock
Yeah, plummeting like a rock
Um, plummeting?
Um, plummeting?

Johnson is apparently toying with the idea of starting a fund that will invest according to his “Johnson dollar diversity dilemma hypothesis.”

Long term we’re thinking of building a fund just analyzing social justice warrior run companies and bets against them.

Yeah, good luck with that, junior.

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