Intel (NASDAQ:INTC) Stock Rating Cut to “Neutral” at Bank of America

Bank of America cut shares of Intel (NASDAQ:INTC) from a buy rating to a neutral rating in a report released on Friday morning, MarketBeat.com reports. They currently have $100.00 target price on the chip maker’s stock, down from their prior target price of $145.00.

Several other research analysts also recently commented on INTC. Citigroup assumed coverage on shares of Intel in a research report on Monday, October 19th. They set an “outperform” rating for the company. Evercore reissued an “outperform” rating and set a $133.00 target price on shares of Intel in a research note on Friday. HSBC restated a “buy” rating on shares of Intel in a research note on Friday, July 24th. Wedbush reissued a “neutral” rating and issued a $98.00 price objective on shares of Intel in a research note on Tuesday. Finally, Morgan Stanley set a $85.00 price target on Intel in a research note on Monday, October 19th. Two equities research analysts have rated the stock with a Strong Buy rating, nineteen have given a Buy rating, twenty-seven have issued a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat.com, the company currently has an average rating of “Hold” and a consensus price target of $97.86.

Intel Trading Down 28.6%

INTC opened at $65.76 on Friday. Intel has a twelve month low of $32.89 and a twelve month high of $142.35. The company has a 50-day simple moving average of $101.10 and a 200 day simple moving average of $86.36. The company has a quick ratio of 1.25, a current ratio of 1.60 and a debt-to-equity ratio of 0.47. The stock has a market capitalization of $331.69 billion, a price-to-earnings ratio of -27.29, a P/E/G ratio of 9.78 and a beta of 2.22.

Intel (NASDAQ:INTC) last announced its quarterly earnings data on Thursday, October 29th. The chip maker reported $0.52 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.41 by $0.11. Intel had a negative net margin of 20.09% and a positive return on equity of 4.55%. The firm had revenue of $16.51 billion for the quarter, compared to the consensus estimate of $16.56 billion. During the same period in the prior year, the company posted $0.23 earnings per share. The business’s revenue for the quarter was up 20.9% on a year-over-year basis. Analysts predict that Intel will post 1.05 EPS for the current fiscal year.

Insider Transactions at Intel

In other news, CEO Lip Bu Tan purchased 105,263 shares of the business’s stock in a transaction on Tuesday, August 11th. The shares were acquired at an average price of $95.00 per share, with a total value of $9,999,985.00. Following the completion of the transaction, the chief executive officer owned 1,314,669 shares of the company’s stock, valued at $124,893,555. The trade was a 8.70% increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 0.05% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in INTC. State Street Corp grew its holdings in Intel by 1.2% in the second quarter. State Street Corp now owns 216,849,675 shares of the chip maker’s stock worth $30,278,720,000 after purchasing an additional 2,528,657 shares during the period. Primecap Management Co. CA bought a new stake in Intel in the 2nd quarter valued at about $10,507,291,000. Amundi increased its position in Intel by 14.9% in the 1st quarter. Amundi now owns 38,969,192 shares of the chip maker’s stock valued at $1,719,710,000 after buying an additional 5,045,936 shares in the last quarter. Bank of America Corp DE raised its position in shares of Intel by 35.7% during the second quarter. Bank of America Corp DE now owns 31,724,362 shares of the chip maker’s stock worth $4,429,673,000 after purchasing an additional 8,342,514 shares during the period. Finally, Bank of New York Mellon Corp raised its position in shares of Intel by 0.4% during the first quarter. Bank of New York Mellon Corp now owns 30,700,929 shares of the chip maker’s stock worth $1,354,832,000 after purchasing an additional 112,054 shares during the period. 64.53% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting Intel

Here are the key news stories impacting Intel this week:

• Positive Sentiment: Intel exceeded third-quarter expectations, reporting adjusted earnings of $0.52 per share versus a roughly $0.41 consensus estimate. Revenue increased 21% year over year to approximately $16.5 billion. Intel third-quarter earnings report
• Positive Sentiment: Data Center and AI revenue rose 78% to $7.3 billion, while Intel Foundry revenue increased 58% to $6.7 billion. CEO Lip-Bu Tan also highlighted the potential for AI agents to expand the server CPU market. Intel server and AI revenue coverage
• Neutral Sentiment: Intel agreed to acquire Israeli quantum software company Classiq Technologies for about $2.3 billion, seeking to build a full-stack quantum-computing business. The deal may provide a long-term growth option but adds to near-term spending and execution demands. Intel Classiq acquisition
• Negative Sentiment: Fourth-quarter guidance was well below Wall Street expectations: revenue is projected at $15 billion-$16 billion, versus approximately $17.1 billion expected, with adjusted earnings of about $0.25 per share versus roughly $0.45 expected. Management said the PC slowdown could persist through at least the first half of 2027. Reuters Intel outlook report
• Negative Sentiment: Memory shortages and higher component prices are making PCs more expensive, while Intel expects client-computing revenue to weaken. A blast at its Israel facility is expected to cause roughly $300 million-$600 million in revenue disruption, adding to manufacturing constraints. Intel PC slowdown and Israel facility report
• Negative Sentiment: Analysts responded with multiple downgrades and price-target reductions, citing weak PC demand, supply bottlenecks, lower margins, heavy foundry investment and the risk that Intel may not generate free cash flow in 2027. The outlook also triggered a broad semiconductor selloff, pressuring AMD, Nvidia, Broadcom and other chip stocks. Analyst reactions to Intel earnings

Intel Company Profile

Intel Corporation (NASDAQ:INTC) is a global semiconductor company that designs and manufactures computing and connectivity products. Its portfolio includes Intel Core processors for personal computers, Xeon processors for data centers and enterprise systems, and products for networking, edge computing, graphics, and artificial intelligence workloads.

Through Intel Foundry, the company also provides semiconductor manufacturing and technology-development services for external customers. Intel develops process technologies, advanced packaging, and other manufacturing capabilities intended to support its own products and third-party chip designs.

Founded in 1968 by Robert Noyce and Gordon Moore, Intel helped establish the modern microprocessor industry and has historically supplied processors for PCs, servers, and other computing systems.