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INTC Rolls Out Core Ultra Series 3 Chips: Will it Boost Prospects?
ZACKS· 2026-01-07 15:31
Core Insights - Intel Corporation has launched the Intel Core Ultra Series 3 processors, which are the first to utilize the 18A manufacturing process, aimed at enhancing performance and efficiency for AI and next-generation computing [1][8] - The global AI market is expected to grow from $757.6 billion in 2025 to $3.68 trillion by 2034, with a compound annual growth rate of 19.2%, prompting Intel to expand its AI chip portfolio [2] - The new Intel Series 3 chips are designed as AI-first platforms, offering significant performance improvements, including 60% better multithread performance and 77% faster gaming performance, along with up to 27 hours of battery life [3][8] AI and Edge Computing - Intel is not only focusing on AI PCs but is also entering the Edge AI market, with the Series 3 processors providing enhanced performance for large language models and video analytics, making them suitable for applications in smart cities and healthcare [4] - Competitors like AMD and Qualcomm are also advancing in the AI space, with AMD launching Ryzen AI Embedded processors and Qualcomm introducing the Snapdragon X2 Plus platform for AI desktops and laptops [5][6] Financial Performance - Intel's stock has increased by 101.1% over the past year, outperforming the industry average growth of 32.1% [7] - The company's shares currently trade at a price/book ratio of 1.61, which is lower than the industry average of 32.57 [9] - Earnings estimates for Intel for 2025 have risen by 6.3% to 34 cents per share, while estimates for 2026 have decreased by 6.5% to 58 cents [11]