Prostock-Studio INTC Stock: Q2 recap Readers familiar with my writings would notice that my investment approach has a strong contrarian flavor. In particular, I like to invest in turnaround stocks (and have had winning success rates so far). In the case of Intel Corporation (NASDAQ:INTC) stock, I have been betting on its turnaround plan in the past 1~2 years. As an example, my last article on the stock was titled “Intel Stock: Why I Keep Betting Against Wall Street (Technical Analysis).” In that article ...

The company is facing multiple challenges on various fronts.In today's video, I will talk about Intel (INTC -1.39%), the issues the company is facing, and when I will buy more shares.*Stock prices used were from the trading day of Aug. 6, 2024. The video was published on Aug. 7, 2024. ...

This is what a broken company looks like.If there were a trifecta for terrible earnings reports, Intel (INTC -1.39%) would have just won it.The blue chip tech stock missed estimates in its second-quarter earnings report, offered guidance below expectations, eliminated its dividend, and announced a round of layoffs and cost cuts.Any of those news items on its own would have been enough to send the stock spiraling, but all four at once show a company in utter disarray, one that can't meet its own forecasts, m ...

It’s official: everybody on the planet hates Intel (NASDAQ:INTC) now. I’m exaggerating, but the tide of sentiment has certainly turned against Intel. This isn’t your cue to panic-sell Intel stock, though. If anything, you should relish the buying opportunity.This is especially true if you call yourself a “buy low, sell high” or contrarian type of investor. When sentiment gets ultra-pessimistic and all of the terrible news is already in the public’s consciousness, it’s time to pounce. You can thank me later ...

Investment Rating - The report does not explicitly provide an investment rating for Intel (INTC) [1][2][3] Core Views - Intel's Q2 2024 revenue was $12.83 billion (YoY -1%, QoQ +1%), below market expectations of $12.98 billion [5] - Non-GAAP gross margin was 38.7% (YoY -1.1pct, QoQ -6.4pct), and Non-GAAP EPS was $0.02, significantly below the market expectation of $0.10 [5] - The company's profitability was impacted by higher costs related to AI PC production, unfavorable product mix, and increased price competition [6] - Intel plans to cut costs by over $10 billion by 2025, including reducing headcount by more than 15% [8][9] - The company expects Q3 2024 revenue to be between $12.5 billion and $13.5 billion, below the market expectation of $14.38 billion [21] Business Segments Summary Intel Product Business - Revenue for Intel's product business in Q2 2024 was $11.8 billion, up 4% YoY, with an operating profit of $2.9 billion, up 16% YoY [10] - Client Computing Group (CCG) revenue was $7.41 billion (YoY +9%, QoQ -1%), driven by AI PC growth, partially offset by export restrictions in China [11] - Data Center and AI Group (DCAI) revenue was $3.05 billion, down 3% YoY, with expectations of sequential growth in H2 2024 due to improved demand for traditional servers [12] - Network and Edge Group (NEX) revenue was $1.34 billion, down 1% YoY, with stable performance and 10% YoY growth in H1 2024 [14] Intel Foundry Business - Foundry revenue in Q2 2024 was $4.32 billion (YoY +4%, QoQ -1%), driven by Intel 7, Intel 4, and Intel 3 wafer shipments [15] - Foundry operating loss was $2.8 billion (YoY -47%, QoQ -12%), with continued pressure expected in Q3 due to high costs from pre-EUV nodes [15] - Intel is progressing with its "4 nodes in 5 years" strategy, with Intel 18A expected to be ready for production by the end of 2024 [17] Other Businesses - Mobileye revenue was $440 million (YoY -3%, QoQ +84%), with an operating margin of 16.4%, but the company lowered its H2 2024 revenue and profit guidance due to challenges in China [18] - Altera revenue was $361 million (YoY -57%, QoQ +6%), with an operating margin of -6.9%, but the company expects double-digit sequential revenue growth in H2 2024 [20] Cost-Cutting and Strategic Plans - Intel plans to reduce operating expenses to $20 billion in 2024 and $17.5 billion in 2025, with a focus on streamlining operations and reducing headcount [9] - Capital expenditure for 2024 is expected to be between $25 billion and $27 billion, down more than 20% from initial guidance, reflecting weaker demand expectations [9] - The company will suspend dividends starting from Q4 2024 to prioritize liquidity for strategic investments [9] Future Outlook - Intel expects to achieve positive adjusted free cash flow by 2025, driven by cost reductions and improved capital efficiency [24] - The company is optimistic about its long-term strategy, including the transition to Intel 18A and the growth of AI PC and data center markets [25][26] - Intel aims to achieve a 60% gross margin and 40% operating margin by the end of the decade, supported by its new operating model and cost discipline [34]

Which of these out-of-favor chipmakers is a better buy right now?Intel (INTC -1.39%) and Arm Holdings (ARM 2.66%), two of the bellwethers of the semiconductor sector, recently plummeted after their latest earnings reports. Intel missed analysts' estimates on the top and bottom lines, suspended its dividend, and announced plans to lay off 15% of its global workforce to cut costs. Those disastrous developments cause its stock to sink 26% to its lowest levels in over a decade on Aug. 2.Arm exceeded Wall Street ...

Intel Corporation (INTC) reported lackluster second-quarter 2024 results owing to soft demand trends and stiff export restrictions to China that led to top-line contraction. Both the top and bottom lines missed the respective Zacks Consensus Estimate. Despite solid traction from its IDM 2.0 (integrated device manufacturing) strategy, margins were significantly affected by an accelerated ramp-up of AI PCs, high operating costs, unfavorable product mix and pricing pressures by rivals. Consequently, management ...

Despite being on the back foot since the first week of January, shares of Intel Corporation NASDAQ: INTC took things to a whole new level last week. For investors, this will be a disappointing, though perhaps not all that surprising, turn of events. Intel TodayINTCIntel$20.40 +0.29 (+1.44%) 52-Week Range$19.29▼$51.28Dividend Yield2.45%P/E Ratio21.25Price Target$32.92Add to WatchlistThe tech titan, if it can still be called that, considering its shares are back trading at 1997 levels, has long struggled to k ...

The chipmaker's stock has taken a deep dive, increasing the value of its shares.Intel (INTC -6.38%) has hit more than a few speedbumps over the last decade. The company was once the most prominent player in chips, a go-to supplier for many tech firms, and a leader in manufacturing. Yet the rising competition in its space over the last decade has left it struggling to stay relevant, and its stock is down by 40% since 2014. However, the company has gradually begun to turn things around in the last year. In re ...

Microchip giant Intel (NASDAQ:INTC) just delivered one of the worst quarterly financial results ever, sending Intel stock plummeting. The company’s share price plunged 26% in one day and registered its worst performance in 50 years. Intel stock is now trading at its lowest level since 2013. The earnings report was so bad that Intel dragged the entire chip sector down with it. Mighty Nvidia (NASDAQ:NVDA) fell 2% on the day. With INTC stock now changing hands at $21 a share, some investors might be tempted to ...