Wall Street remains skeptical on Intel despite its return to profitability

Financial Performance - Intel posted its first profitable quarter since January 2024, ending six straight quarterly losses [1][2] - Intel secured $8.9 billion from the US government [4] - Intel received $2 billion from SoftBank [4] - Intel has a pending $5 billion deal from Nvidia [4] - Foundry revenue fell 2% despite cost cuts [4] Market Sentiment & Analysis - Wall Street is skeptical of Intel's turnaround despite the return to profitability [2] - Demand for Intel's older hardware is faster than anticipated due to the Windows refresh [3] - Bank of America doesn't expect meaningful improvement in Foundry's cost structure until after 2030 [5] - City reiterates a sell on Intel, believing Intel's foundry business is years behind TSMC [6] - Morgan Stanley warns that the rally in Intel's share price is driven by geopolitical enthusiasm rather than company fundamentals [6] - Some analysts believe Intel remains a "show me story" with unanswered questions and no real AI exposure [6]