Intel Corporation remains a buy due to its cheap valuation and restructuring efforts, but investors should expect a long road to profitability. Q2 results were mixed: revenue slightly beat expectations, but heavy restructuring charges led to significant losses and margin pressure. Management is aggressively cutting costs, consolidating foundry operations, and capping CapEx, learning from past overexpansion mistakes.
CNBC's Kristina Partsinevelos jonis 'Squawk on the Street' to discuss the latest earnings from Intel.
Big tech stock Intel Corp (NASDAQ:INTC) is 8.6% lower to trade at $20.70, after the company shared an adjusted second-quarter loss of 10 cents, versus estimates of a 1 cent profit.
Intel Corporation's Q2 earnings and Q3 outlook disappointed due to ongoing restructuring and a slow reorganization, weighing on financial performance. Despite current challenges, I see turnaround potential if Intel successfully focuses on its core operations and completes restructuring. Intel is cutting headcount, scrapping projects in Europe, and slowing factory builds in the U.S., which is helping the chipmaker rationalize its CapEx spend.
Intel remains in a tough restructuring phase, with disappointing earnings and technical weakness, but a long-term turnaround is possible. The company is monetizing non-core assets, focusing on core engineering and AI, while cutting expansion plans to improve capital efficiency. Short-term pain is likely, but I see potential for a bottom over the next year or two if the plan stays on track.
Stock futures are little changed after the Nasdaq and S&P 500 hit record highs yesterday; U.S. regulators cleared Paramount's (PARA) merger with Skydance Media; Intel (INTC) shares are plunging after the chipmaker posted a surprise loss; Deckers Outdoor (DECK) is rising after the footwear maker reported a jump in revenue; and miner Newmont (NEM) reported rising profits with higher gold prices. Here's what investors need to know today.
Intel shares fell more than 8% after announcing 25,000 job cuts and scrapping European projects. The tech giant's move is part of a turnaround plan to improve its financial performance.
Intel Corp. is shedding thousands of workers and cutting expenses as its new CEO works to revive the fortunes of the struggling chipmaker that helped launch Silicon Valley but has fallen behind rivals like Nvidia Corp. and Advanced Micro Devices Inc.
Intel Corp's (NASDAQ:INTC, ETR:INL) latest results landed with a mixture of optimism and hard reality for anyone tracking the future of global chipmakers. The company reported stronger revenue than expected, but outlined a tough plan to tackle losses and sharpen its strategy as artificial intelligence continues to reshape the sector.
Shares of Intel were down 5.8% in Frankfurt on Friday after the company said it expects steeper losses than Wall Street forecasts in the third quarter and announced plans to slash jobs.
Intel warned investors on Thursday that it may have to get out of the chip manufacturing business if it does not land external customers to make chips in its factories.
Intel Corporation (NASDAQ:INTC ) Q2 2025 Earnings Conference Call July 24, 2025 5:00 PM ET Company Participants David A. Zinsner - Executive VP & CFO John William Pitzer - Corporate Vice President of Corporate Planning & Investor Relations Lip-Bu Tan - CEO & Director Conference Call Participants Aaron Christopher Rakers - Wells Fargo Securities, LLC, Research Division Benjamin Alexander Reitzes - Melius Research LLC Joseph Lawrence Moore - Morgan Stanley, Research Division Ross Clark Seymore - Deutsche Bank AG, Research Division Stacy Aaron Rasgon - Sanford C.