What's the better chip stock? Intel vs Qualcomm

Fast Money Madness
CNBC

It's the old vs.the new. A company looking to reinvent itself versus one that was in the right place at the right time.

On "Fast Money," as part of their Madness challenge, the traders on Tuesday afternoon will debate what is the better chip stock, Intel or Qualcomm? On CNBC Pro, we give you a preview of the traders' opinions so you can make your own decision right now.

First let's look at the tale of the tape. Intel shares are down 16 percent this year on a weak PC environment and a strong dollar hurting foreign sales. Qualcomm is down 6 percent because of a lowered forecast due to competition from China. But Qualcomm still has a big tailwind because it's a key component for smartphones, something Intel is not.

Nonetheless, "Fast Money" trader Steve Grasso is voting for Intel.

He points out that the cloud serve business is taking a bigger and bigger portion of revenue for Intel. It's also making inroads into mobile. But more importantly, the company's fundamentals make for a better investment right now, Grasso said.