Bank CEO Steinour sees Intel move to build huge plant in Ohio as ‘seismic.’
A company that literally banks on Columbus, Ohio is looking forward to growing with Intel (INTC) – Get Intel Corporation Report, which just made a major commitment to build the biggest chip plant in the world in central Ohio.
Jim Cramer heard from Steve Steinour, chairman, president and CEO of Huntington Bancshares (HBAN) – Get Huntington Bancshares Incorporated Report, the Ohio-based bank that recently released better-than-expected earnings but with weaker revenues. Shares were down initially after the report.
On Real Money, Bruce Kamich said that while company fundamentals may be solid, the technical patterns in the Huntington’s charts are troubling. In particular the weekly on balance volume line, or OBV, “made a lower high since November when prices made a higher high; this is a bearish divergence,” Kamich wrote.
Steinour commented to Cramer on “Mad Money” on the recent announcement that semiconductor maker Intel will invest $20 billion to bring chip manufacturing to Huntington’s hometown of Columbus, Ohio. He said the deal came together very quickly and will have “seismic” impacts on the Ohio economy. Intel’s first factory will be one million square feet and represent the biggest chip plant in the world.
Steinour added that Columbus, and all of Ohio, brings together everything Intel needs, from good schools and a talented workforce to cheap energy and the perfect geography to power America’s semiconductor needs for decades to come.
Turning to business at Huntington, Steinour said that his bank has a great deposit base and rising interest rates will only add to their profitability. He was also encouraged by falling Covid hospitalization rates, which may finally be signaling that the pandemic is winding down.
