Chip stock Intel (INTC) has been actively pursuing cost-cutting measures for the last few months now, with one of the most recent—the glass substrate project—emerging for us to consider. Another such move followed only hours ago, reports noted, and this might be one of Intel’s lowest points yet. It is sufficiently low, in fact, that Intel lost nearly 2.5% from its stock in Monday afternoon’s trading.
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Intel Israel recently launched a wave of layoffs. Not exactly new there; we know that Intel has been paring back its staff for months now. But this set of layoffs—measured in the hundreds, all told—comes with a rather disturbing caveat. The Intel Israel employees in question were offered a choice. The first choice: accept the firing immediately, and get an unusually generous severance package based on years of service. The second: challenge the decision.
Challenging a layoff via a hearing is apparently common practice in Israel. But those who go this route run the risk of not only losing their job, but also, losing the severance package, and instead only getting a smaller package that is required by law. And given that the package in question could represent as much as 19 months’ salary, that represents a potentially sizable loss for anyone who does not manage to reverse the decision.
“Monster Good”
And then, in what might have been one of the most backhanded compliments ever, notorious stock analyst Jim Cramer recently declared that Intel’s new CEO, who has been CEO since March 18, 2025, was “monster good.”
Cramer described himself as a former “Intel hawk,” telling everyone to sell. But even Cramer had to reconsider in light of Lip Bu-Tan’s capability. However, Cramer also noted that Tan would need “…another six months to a year…” before an actual turn-around could be put in place. Cramer then gave his blessing to those who wanted to hold out for that six months to a year, but did not recommend shareholders do that.
Is Intel a Buy, Hold or Sell?
Turning to Wall Street, analysts have a Hold consensus rating on INTC stock based on one Buy, 26 Holds and four Sells assigned in the past three months, as indicated by the graphic below. After a 33.83% loss in its share price over the past year, the average INTC price target of $21.46 per share implies 2.14% downside risk.
