Intel (INTC) AI Stock Analysis

• Market Cap: $175.63B
• Dividend Yield: N/A
• Average Volume (3M): 77.83M
• Price to Earnings (P/E): 3473.6
• Beta (1Y): 1.70
• Revenue Growth: -1.49%
• EPS Growth: N/A
• Country: US
• Employees: 108,900
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): 0.23
• Shares Outstanding: 4,770,000,000
• 10 Day Avg. Volume: 75,575,979
• 30 Day Avg. Volume: 77,831,936
• PEG Ratio: <0.01
• Price to Book (P/B): 0.88
• Price to Sales (P/S): 1.64
• P/FCF Ratio: -5.55
• Enterprise Value/Market Cap: 1.06
• Enterprise Value/Revenue: 3.50
• Enterprise Value/Gross Profit: 9.77
• Enterprise Value/Ebitda: 13.44
• 1Y Price Target: $37.40
• Price Target Upside: 1.58% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 33
• EPS Forecast (FY): 0.33
• Revenue Forecast (FY): $52.54B

• Rating: 64 Neutral
• Price Target: $43.00 ▲(16.78% Upside)

Intel's overall stock score is driven by strong technical indicators and positive earnings call sentiment. However, high valuation concerns and financial performance challenges, particularly in profitability and cash flow, weigh down the score.

Positive Factors

AI and Foundry Progress

Intel's progress in AI and foundry operations, including collaborations with NVIDIA, positions it well in a growing market, enhancing its competitive edge.

Improved Cash Position

A stronger cash position enhances Intel's financial flexibility, allowing for strategic investments and resilience against market fluctuations.

Strategic Partnerships

The partnership with NVIDIA strengthens Intel's AI capabilities and market reach, fostering innovation and potential revenue growth in AI and computing.

Negative Factors

Supply Constraints

Ongoing supply constraints limit Intel's ability to meet demand, potentially affecting revenue growth and customer satisfaction in the long term.

Foundry Financial Loss

Continued financial losses in the foundry segment indicate operational challenges, impacting profitability and requiring strategic adjustments.

Gross Margin Decline

Declining gross margins suggest pricing pressures and cost management issues, which could hinder profitability and financial performance.

Intel Business Overview & Revenue Model

Company Description

Intel Corporation (INTC) is a leading global technology company known for designing and manufacturing advanced integrated digital technology solutions. Established in 1968, Intel primarily operates in the semiconductor industry, focusing on microprocessors, chipsets, and other hardware components for computing and communications. The company serves various sectors, including personal computing, data centers, Internet of Things (IoT), and artificial intelligence (AI), with core products such as Intel Core processors, Xeon processors, and memory products.

How the Company Makes Money

Intel generates revenue primarily through the sale of its semiconductor products, which include microprocessors, chipsets, and memory modules. The company operates through several key segments: Client Computing Group (CCG), which focuses on personal computers and laptops; Data Center Group (DCG), which supplies processors and solutions for data centers; and Internet of Things Group (IoTG), which provides products for connected devices. Significant revenue streams include direct sales to original equipment manufacturers (OEMs) and system builders, as well as retail sales. Intel also engages in strategic partnerships with other technology firms and cloud service providers, enhancing its market presence and expanding its customer base. Additional revenue comes from licensing its technology and patents to other companies, further diversifying its income sources.

Intel Financial Statement Overview

Summary

Intel faces significant profitability challenges with negative net income and declining revenue. The balance sheet remains relatively strong with reasonable leverage and a solid equity ratio, but cash flow issues persist with negative free cash flow, raising concerns over liquidity and operational cash generation.

Income Statement

Intel's TTM revenue has slightly decreased from the previous year, indicating a revenue contraction trend. The gross profit margin for TTM stands at 29.76%, showing a substantial decline from historical levels, reflecting deteriorating cost management or pricing pressures. The net profit margin is deeply negative at -38.65%, highlighting significant profitability challenges, further accentuated by a negative EBIT margin of -19.28%. Despite a positive EBITDA margin of 2.10%, overall income statement performance is weak, with substantial negative net income impacting overall profitability.

Balance Sheet

The balance sheet shows a debt-to-equity ratio of 0.52, indicating moderate leverage. The equity ratio is strong at 50.84%, reflecting a solid capital structure. Return on equity is severely negative at -20.95%, pointing to challenges in generating returns for shareholders in the current period. Overall, the balance sheet displays a stable capital base with manageable leverage, but profitability issues are a concern.

Cash Flow

Intel's free cash flow remains negative at -$10.94 billion, though it has shown some improvement from the previous year's -$15.66 billion. The operating cash flow to net income ratio is -0.49, highlighting cash flow generation challenges relative to net income losses. The free cash flow to net income ratio is negative, further reflecting cash outflows. Cash flow performance indicates significant room for improvement, especially in light of negative free cash flow and operating cash flow issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	53.44B	53.10B	54.23B	63.05B	79.02B	77.87B
Gross Profit	19.12B	17.34B	21.71B	26.87B	43.81B	43.61B
EBITDA	13.90B	1.20B	11.24B	21.30B	33.87B	36.12B
Net Income	198.00M	-18.76B	1.69B	8.01B	19.87B	20.90B
Balance Sheet
Total Assets	204.51B	196.49B	191.57B	182.10B	168.41B	153.09B
Cash, Cash Equivalents and Short-Term Investments	30.93B	22.06B	25.03B	28.34B	28.41B	23.89B
Total Debt	46.55B	50.01B	49.28B	42.05B	38.10B	36.40B
Total Liabilities	87.78B	91.45B	81.61B	78.82B	73.02B	72.05B
Stockholders Equity	106.38B	99.27B	105.59B	101.42B	95.39B	81.04B
Cash Flow
Free Cash Flow	-8.42B	-15.66B	-14.28B	-9.62B	9.13B	20.93B
Operating Cash Flow	8.57B	8.29B	11.47B	15.43B	29.46B	35.38B
Investing Cash Flow	-12.02B	-18.26B	-24.04B	-10.23B	-24.28B	-20.80B
Financing Cash Flow	5.80B	11.14B	8.51B	1.11B	-6.21B	-12.92B

Intel Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 36.82
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For INTC, the sentiment is Neutral. The current price of 36.82 is below the 20-day moving average (MA) of 38.78, below the 50-day MA of 38.03, and above the 200-day MA of 26.95, indicating a neutral trend. The MACD of -0.13 indicates Positive momentum. The RSI at 45.07 is Neutral, neither overbought nor oversold. The STOCH value of 10.42 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for INTC.

Intel Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ASML	81 Outperform	$403.37B	39.51	51.72%	0.63%	24.91%	39.95%
TSM	81 Outperform	$1.18T	29.61	34.89%	0.84%	39.73%	56.22%
AVGO	76 Outperform	$1.61T	71.42	31.05%	0.58%	23.87%	285.84%
NVDA	76 Outperform	$4.40T	44.83	107.36%	0.02%	65.22%	58.53%
AMD	73 Outperform	$347.47B	105.48	5.32%	―	31.83%	80.45%
INTC	64 Neutral	$175.63B	3,473.58	0.19%	―	-1.49%	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Intel Corporate Events

Intel Appoints Dr. Craig Barratt to Board

On November 10, 2025, Intel Corporation announced the appointment of Dr. Craig H. Barratt to its board of directors as an independent director. Dr. Barratt, with over three decades of experience in the semiconductor and technology industries, is expected to bring valuable insights to Intel’s strategic growth. His previous roles include CEO of Atheros Communications and senior vice president at Intel, overseeing ethernet, photonics, and networking businesses. His appointment is seen as a strategic move to strengthen Intel’s engineering excellence and drive technological advancements.

Intel Sells Shares to SoftBank for $2 Billion

On September 26, 2025, Intel Corporation completed a significant financial transaction by issuing and selling 86,956,522 shares of its common stock to SoftBank Group Corp. for $2.0 billion. This private placement, executed under a Securities Purchase Agreement, highlights Intel’s strategic financial maneuvers to bolster its capital, potentially impacting its market positioning and stakeholder interests.

Intel Partners with NVIDIA in $5 Billion Stock Deal

On September 15, 2025, Intel Corporation entered into a Securities Purchase Agreement with NVIDIA Corporation, where NVIDIA agreed to purchase 214,776,632 shares of Intel’s common stock for $5 billion. This transaction, subject to customary closing conditions, marks a significant collaboration between the two companies to develop AI infrastructure and personal computing products. The partnership aims to integrate NVIDIA’s AI and accelerated computing with Intel’s CPU technologies to deliver advanced solutions across hyperscale, enterprise, and consumer markets. This collaboration is expected to enhance Intel’s industry positioning and expand both companies’ ecosystems, laying the foundation for future computing advancements.

Intel Sells Majority Stake in Altera to Silver Lake

On September 12, 2025, Intel Corporation completed a transaction to sell a 51% stake in its Altera business to an affiliate of Silver Lake for approximately $3.3 billion, forming a new partnership while retaining a 49% interest. This strategic move allows Intel to revise its financial targets, reflecting the deconsolidation of Altera, and positions the company to better focus on its core operations and financial performance, as indicated by its updated non-GAAP operating expense targets.