Intel (NASDAQ:INTC) Shares Gap Up – Still a Buy?

Intel Corporation (NASDAQ:INTC)’s stock price gapped up prior to trading on Tuesday . The stock had previously closed at $97.06, but opened at $103.19. Intel shares last traded at $102.0620, with a volume of 17,668,154 shares.

Key Headlines Impacting Intel

Here are the key news stories impacting Intel this week:

• Positive Sentiment: Intel’s foundry business landed its first named outside customer under CEO Lip-Bu Tan, with Fortinet signing on to use Intel Foundry for its Security Processor 6 on Intel 4. The announcement also reinforced the idea that Intel is gaining traction in contract manufacturing. Intel’s foundry lands first named customer under CEO Lip-Bu Tan, as Fortinet signs on for security chips
• Positive Sentiment: Analyst and market commentary turned more constructive ahead of earnings, with reports citing stronger server demand, pricing gains, and a likely Q2 revenue beat. Several funds were also said to be buying Intel stock ahead of the results. Wedbush delivers bold verdict on Intel stock ahead of earnings
• Positive Sentiment: Intel also benefited from a broader chip rebound and optimism around AI demand, with several stories suggesting its turnaround, foundry efforts, and AI infrastructure exposure could support upside if Thursday’s report confirms momentum. Intel results test if AI-fueled rally has room to run
• Neutral Sentiment: There were also reports that Intel is seeking a partner for its Ohio chip fab, rather than selling it outright, and SK hynix quickly denied acquisition talks. That kept the rumor mill active but did not create a clear new strategic catalyst. Intel mulls partnership for Ohio chip fab, SK Hynix among candidates – report
• Negative Sentiment: Pressure remains from a sluggish PC market, high expectations after a huge year-to-date run, and reports of fresh data-center layoffs as CEO Lip-Bu Tan continues restructuring. Investors appear concerned that earnings may need to be very strong to justify the recent rally. Intel plans layoffs within its data center group

Analyst Ratings Changes

A number of research firms have weighed in on INTC. DZ Bank raised Intel from a “sell” rating to a “neutral” rating in a report on Friday, April 24th. BNP Paribas Exane raised Intel from an “underperform” rating to a “buy” rating and set a $60.00 target price for the company in a report on Tuesday, April 21st. Bank of America raised their target price on Intel from $135.00 to $160.00 and gave the stock a “buy” rating in a research report on Tuesday, June 23rd. Rosenblatt Securities boosted their price target on Intel from $30.00 to $50.00 and gave the company a “sell” rating in a research note on Friday, April 24th. Finally, HSBC reiterated a “buy” rating and issued a $200.00 price target on shares of Intel in a research report on Thursday, July 2nd. Two investment analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating, twenty-nine have given a Hold rating and three have given a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus price target of $102.77.

Intel Trading Down 2.7%

The company has a market cap of $515.77 billion, a price-to-earnings ratio of -165.51 and a beta of 2.18. The company’s fifty day moving average price is $116.48 and its two-hundred day moving average price is $77.54. The company has a quick ratio of 1.85, a current ratio of 2.31 and a debt-to-equity ratio of 0.34.

Intel (NASDAQ:INTC) last posted its earnings results on Thursday, April 23rd. The chip maker reported $0.29 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.01 by $0.28. The company had revenue of $13.58 billion during the quarter, compared to analysts’ expectations of $12.32 billion. Intel had a negative net margin of 5.90% and a positive return on equity of 0.39%. Intel’s quarterly revenue was up 7.4% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.13 earnings per share. Research analysts expect that Intel Corporation will post 0.65 earnings per share for the current year.

Insiders Place Their Bets

In other Intel news, EVP Boise April Miller sold 40,256 shares of Intel stock in a transaction on Friday, May 1st. The stock was sold at an average price of $99.53, for a total value of $4,006,679.68. Following the completion of the transaction, the executive vice president owned 105,077 shares in the company, valued at approximately $10,458,313.81. The trade was a 27.70% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 0.05% of the stock is owned by corporate insiders.

Institutional Trading of Intel

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Trust Asset Management LLC raised its holdings in shares of Intel by 8.6% in the second quarter. Trust Asset Management LLC now owns 51,805 shares of the chip maker’s stock valued at $7,234,000 after buying an additional 4,090 shares during the last quarter. Ballast Inc. bought a new stake in Intel during the 2nd quarter worth about $328,000. Regent Peak Wealth Advisors LLC increased its position in Intel by 13.8% in the 2nd quarter. Regent Peak Wealth Advisors LLC now owns 12,498 shares of the chip maker’s stock valued at $1,745,000 after acquiring an additional 1,513 shares in the last quarter. Wedge Capital Management L L P NC acquired a new stake in Intel in the 2nd quarter valued at about $976,000. Finally, Abound Wealth Management raised its stake in shares of Intel by 74.8% in the second quarter. Abound Wealth Management now owns 1,813 shares of the chip maker’s stock worth $253,000 after acquiring an additional 776 shares during the last quarter. 64.53% of the stock is currently owned by institutional investors and hedge funds.

About Intel

Intel Corporation, founded in 1968 by Robert Noyce and Gordon E. Moore and headquartered in Santa Clara, California, is a leading global designer and manufacturer of semiconductor products. The company is historically notable for introducing the first commercial microprocessor and for driving the x86 architecture that underpins many personal computers and servers. Intel’s core business spans the design, fabrication and marketing of processors, chipsets and related components for a wide range of computing applications.

Intel’s product portfolio includes client and mobile processors marketed under brands such as Intel Core and Pentium, as well as high-performance Xeon processors for data centers and cloud infrastructure.