Vivek Arya, an analyst from Bank of America Securities, maintained the Hold rating on Intel. The associated price target remains the same with $25.00.
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Vivek Arya’s rating is based on Intel’s strategic initiatives and market challenges. Intel is making strides with its new foundry milestones, particularly the 18A and 14A nodes, which are expected to yield significant returns over the next several years. The company is also focusing on disciplined capital expenditure and is committed to integrating more external IP and software solutions. However, these positive developments are tempered by the competitive pressures from companies like AMD and ARM, as well as the capital-intensive nature of Intel’s manufacturing processes, which are projected to continue generating losses through the end of 2027.
Additionally, while Intel’s PC channel inventory remains healthy, the overall sales for the second half of the year are anticipated to be below seasonal expectations. The potential spinoff of Intel’s Network and Edge Group (NEX) is another factor in the mix, as it could impact revenue streams. These elements collectively contribute to Arya’s Hold rating, reflecting a balanced view of Intel’s potential and the challenges it faces.
In another report released on July 27, TR | OpenAI – 4o also reiterated a Hold rating on the stock with a $21.00 price target.