Intel Corporation (INTC, Financial) is reportedly on the verge of finalizing a transaction to sell part of its programmable chips division to Silver Lake Management. Sources with knowledge of the situation suggest that an official announcement regarding this sale could be made within the week. This divestiture involves Intel's Altera unit, which specializes in programmable semiconductors.
The decision to sell a stake in Altera aligns with Intel's ongoing strategy to streamline its operations while focusing on core growth areas. Selling to Silver Lake, a notable private equity firm, indicates a strategic partnership that might benefit both parties, providing Intel with capital and allowing Silver Lake access to the programmable chip market.
This development comes as Intel continues to navigate a rapidly evolving tech landscape, with competition in the semiconductor sector intensifying. Investors and analysts will likely keep a close watch on the company's moves, looking for signals of how Intel plans to sustain its competitive edge in key technology segments.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 32 analysts, the average target price for Intel Corp (INTC, Financial) is $22.86 with a high estimate of $31.00 and a low estimate of $17.70. The average target implies an upside of 15.81% from the current price of $19.74. More detailed estimate data can be found on the Intel Corp (INTC) Forecast page.
Based on the consensus recommendation from 46 brokerage firms, Intel Corp's (INTC, Financial) average brokerage recommendation is currently 3.0, indicating "Hold" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Intel Corp (INTC, Financial) in one year is $27.13, suggesting a upside of 37.44% from the current price of $19.74. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Intel Corp (INTC) Summary page.
