Intel (INTC -1.61%) has been one of the more disappointing stocks in modern market history. Shares of the veteran chipmaker, which helped pioneer the digital age, are down almost 15% over the last 20 years, as the company missed out on major technology transitions such as mobile and now artificial intelligence (AI), including passing up an opportunity to invest in OpenAI even as recently as in 2017.
Looking beyond Wall Street's top -and-bottom-line estimate forecasts for Intel (INTC), delve into some of its key metrics to gain a deeper insight into the company's potential performance for the quarter ended March 2025.
Intel Corporation NASDAQ: INTC initiated a significant portfolio reshaping with the announcement on Apr. 14, 2025, that it has entered into a definitive agreement to sell a 51% controlling interest in its Altera programmable chip business.
Intel (INTC) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
If a stock is trading near its 52-week low, you know that it's probably facing some challenges. But when you're talking about a stock that is trading at around its five-year lows, you know it's probably in deep trouble, and may already be in the midst of a turnaround.
The Intel Corporation stock selloff seen since mid-2021 has already priced in most of the bad news. Now, I think there are potential bullish catalysts for recovery. Intel's Q4 FY2024 results showed resilience, with revenue and EPS beating expectations driven by Client Computing Group's performance. The new CEO, Lip-Bu Tan, and strategic moves like asset monetization and reduced CapEx aim to strengthen Intel's turnaround and market positioning.
Intel Corporation's new CEO is not holding back on cost cuts, announcing the sale of a 51% stake in Altera to Silver Lake on Monday. My call to buy Intel was based on the cost-cutting efforts paying off big time, and INTC stock being extremely undervalued. I'm more sure of this after the news on Altera and after the stock price got super discounted on tariff panic.
Focused asset sales and Trump tariffs on imported semiconductors could significantly impact Intel's valuation and future profitability. A foundry asset partnership, with ownership stakes sold to the top chip names in America could net $15-20 billion for Intel, while still keeping a substantial position. Intel's majority ownership in Mobileye, Altera and other assets could raise an extra $15+ billion, if sold outright, reducing debt and slashing non-core operating losses.
I reiterate my buy opinion on Intel, despite recent market and tariff turbulence, with the stock outperforming the S&P 500 and potential JV with TSMC as a catalyst. INTC's strong core business, economic nationalism trends, and new CEO Lip-bu Tan's aligned incentives support a potential turnaround and undervaluation. INTC's valuation is rock bottom, with its CPU business alone justifying a higher market cap, and the foundry business holds significant untapped potential.
Shares of Intel (INTC) surged Monday morning after the chipmaker said it agreed to sell 51% of its programmable chip business Altera to private equity firm Silver Lake.
Intel Corp (NASDAQ:INTC, ETR:INL) shares moved higher in early trade on Monday after the company announced the sale of a 51% stake in its programmable chip unit Altera to private equity firm Silver Lake, valuing Altera at $8.75 billion. Intel will retain a 49% stake in Altera, allowing it to benefit from future growth while establishing Altera as an independent entity specializing in FPGA (field programmable gate array) semiconductor solutions.
The deal values Altera at $8.75 billion and Intel will retain a 49% stake in the business.