It is an investing maxim that it is not location that matters, but direction.
Intel's recent earnings had a poor forward guidance, which led to a correction in the stock. The stock is not dead money, and the new management could deliver a turnaround with a good strategy. Bloomberg mentioned that Intel could lay off around 20% of its current workforce, which could improve some key metrics and make the organization more nimble.
Intel NASDAQ: INTC reported seemingly positive first-quarter financial results, exceeding expectations for adjusted earnings per share (EPS) and revenue.
Intel (INTC) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.
While there are some ways semiconductor giant Intel (INTC 2.37%) could benefit from the Trump administration's tariff policies and push to bring manufacturing back to the United States, the company is unlikely to be a trade war winner. Economic uncertainty could push down demand for PCs and lead data center operators to pull back on capital spending, bad news for Intel's core CPU business.
Intel's (INTC 1.97%) first-quarter results came up flat, and investors sent shares of the struggling semiconductor company lower. Intel shares are down more than 40% over the past year.
Intel (INTC -6.75%) recently posted its first-quarter earnings report. The chipmaker's revenue came in flat year over year at $12.7 billion, which still beat analysts' estimates by $390 million.
Intel's stock remains under pressure after a mixed 1Q FY2025 earnings report and a weak outlook, amidst ongoing trade tensions, including the delay of 18A ramps to 1H 2026. The new CEO's cost cuts, including a 20% workforce reduction, aim to ease profit loss pressure but may widen the gap with peers. Management expects the 1Q pull-forward demand from incoming tariff hikes to add growth pressure in 2Q.
Intel stock has stumbled lately, but I'm optimistic about CEO Tan's cultural and strategic reset; it feels like the right long-term move, despite some near-term challenges. Q1 results weren't pretty with flat revenues and China tensions, yet Intel's new focus on AI and foundry services could realistically restore its competitive strength. Investors willing to hold through 2026 might see meaningful upside once macro issues fade and Tan's turnaround strategy takes full effect, potentially rewarding patience.
Intel's new CEO, Lip-Bu Tan, aims to flatten management, cut operational expenses, and refine AI strategy, but lacks detailed turnaround plans. Q1 results showed slight sales increase and EPS beat, but overall Intel faces margin pressures and uncertain market conditions. Intel's 2025 price target is reduced to $14.18 due to lowered EBITDA and free cash flow estimates, maintaining a hold rating.
Shares of Intel (INTC) finished the week on a down note after its latest financial outlook disappointed investors. The stock's next catalyst might be just a few days away.
Intel beat estimates but the guidance was once again abysmal. Cash burn is high and the debt is likely to lose IG status at this rate. We tell you what you should look for if this ship is indeed turning around.