Intel Stock Surges 15.5% Year-to-Date, AI Chips Capture Investor Attention
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2d ago
0mins
Source: Fool
- Stock Surge: Intel's stock has risen 15.5% year-to-date, building on an over 80% gain last year, indicating strong market momentum that may lay the groundwork for future growth opportunities.
- New Product Launch: The Core Ultra Series 3 processors, Intel's first AI personal computing platform built on the U.S.-based Intel 18A semiconductor process, are expected to enhance the company's competitiveness in AI, particularly with a 1.9x improvement in large language model performance.
- Financial Performance Improvement: Intel's third-quarter revenue rose 3% year-over-year to $13.7 billion, with the CEO noting that AI is accelerating demand for compute, which could further enhance overall performance, despite a 7% year-over-year decline in fourth-quarter revenue.
- Market Outlook: While Intel's market capitalization exceeds $200 billion and it recently returned to profitability, investors should cautiously assess future growth potential due to risks associated with technological disruption and demand uncertainties.
Analyst Views on INTC
Wall Street analysts forecast INTC stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for INTC is 35.61 USD with a low forecast of 20.00 USD and a high forecast of 52.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
34 Analyst Rating
3 Buy
25 Hold
6 Sell
Hold
Current: 41.110
Low
20.00
Averages
35.61
High
52.00
Current: 41.110
Low
20.00
Averages
35.61
High
52.00
About INTC
Intel Corporation is a global designer and manufacturer of semiconductor products. The Company operates through three segments: Intel Products, Intel Foundry, and All Other. Its Intel Products segment includes Client Computing Group (CCG), Data Center and AI (DCAI), Network and Edge (NEX). The CCG is bringing together the operating system, system architecture, hardware, and software application integration to enable PC experiences. DCAI delivers workload-optimized solutions to cloud service providers and enterprises, along with silicon devices for communications service providers, network and edge, and HPC customers. NEX helps networks and edge compute systems from fixed-function hardware to general-purpose compute, acceleration, and networking devices running cloud native software on programmable hardware. The Intel Foundry segment comprises technology development, manufacturing and foundry services. All Other segments include Altera, Mobileye, Other.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
