Here’s what Wall Street is saying about Intel ahead of earnings

Intel (INTC) is scheduled to report results of its fiscal second quarter after the market close on July 24, with a conference call scheduled for 5:00 pm ET. What to watch for:

GUIDANCE: Along with its last report, Intel guided for Q2 adjusted EPS of 0c on revenue of $11.2B-$12.4B. At the time, analysts were expecting the company to report Q2 EPS of 6c on revenue of $12.81B, but those figures have since fallen to 1c and $11.88B, respectively.

STREAMLINING ORGANIZATION: Intel also announced with its last report that it was taking actions to “drive better, more efficient execution” across the business. The plan includes streamlining the organization, eliminating management layers and enabling faster decision-making. In taking these actions, Intel will focus on empowering engineering talent to create great products and driving greater accountability across the company while making it easier for customers to do business with Intel. In line with these actions, Intel is reducing its non-GAAP operating expense target to approximately $17B in 2025, down from its previously stated goal of $17.5B, and is now targeting $16Bin 2026. Operating expenses include research and development, and marketing, general and administrative. Intel expects to have restructuring charges associated with these actions, some of which may be included in its non-GAAP results. Since the company has not yet estimated these charges, they are not included in its guidance. Additionally, further operational efficiencies and better utilization of construction-in-progress assets allow Intel to reduce its gross capital expenditures target to $18B for 2025, down from the company’s previous target of $20B, while still expecting net capital expenditures of approximately $8B to $11B.

LOOP INITIATION: Earlier this week, Loop Capital initiated coverage of Intel with a Hold rating and $25 price target. The firm said TSMC’s (TSM) advanced-node manufacturing as better than Intel’s. It views TSMC as the “obvious manufacturing partner” to get Intel’s products more competitive with AMD (AMD), Nvidia (NVDA) and Arm (ARM). Loop believes that if Intel Foundry can’t rely on the volume from Intel Products, the company as a whole will struggle to cover its fixed costs. The firm sees getting more constructive on Intel shares on a shift away from foundry.

PT HIKES: Several firms increased their price targets on Intel ahead of its quarterly report. Of note, Stifel raised the firm’s price target on Intel to $24.50 from $21 and reiterated a Hold rating on the shares ahead of the company’s earnings report due Thursday, which the firm notes will represent Lip-Bu Tan’s second earnings call and his full-quarter results as CEO. The firm is “optimistic” and anticipates the second half of 2026 into the first half of 2027 as “the window of more material inflection,” contingent on execution, but maintains a Hold rating until catalysts materialize.

Meanwhile, Citi analyst Christopher Danely raised the firm’s price target on Intel to $24 from $21 and backed a Neutral rating on the shares as part of a Q2 earnings preview for the semiconductor group. The firm increased estimates, saying prior assumptions that tariffs would drive to a slowdown in the sector does not appear to be happening. Citi expects a sector upturn driven by solid demand and inventory replenishment. The analyst sees the most upside in Microchip (MCHP) and Texas Instruments (TXN).

Additionally, Mizuho raised the firm’s price target on Intel to $23 from $22 and kept a Neutral rating on the shares. The firm raised estimates and price targets for a number of names in the semiconductors and semiconductor capital equipment group as it took a look at the data center and AI server market following a re-rating post the “Liberation Day” selloff and ahead of June quarter earnings.

TARIFFS: Last week, President Donald Trump said he will likely impose tariffs on pharmaceuticals as early as the end of this month and levies on semiconductors will also be coming soon, Jennifer Dlouhy and Justin Sink of Bloomberg reported. This suggests those import taxes could hit alongside broad “reciprocal” rates set to start on August 1. “Probably at the end of the month, and we’re going to start off with a low tariff and give the pharmaceutical companies a year or so to build, and then we’re going to make it a very high tariff,” Trump told reporters.