July 10 - Intel (INTC, Financial) is set to release fiscal second‑quarter results on July 24.
Analysts expect earnings per share to fall by about 53% year over year to roughly $0.0093, as consensus sits at a steep decline. Revenue is forecast to drop by $1 billion from the year‑ago period, with non‑GAAP EPS broadly flat sequentially, reflecting management's guidance for a mid‑point of $11.8 billion in sales and a roughly 36.5% gross margin.
This will be the first full quarter under new CEO Lip‑Bu Tan, who took the helm in January. After Intel posted an adjusted $0.13 EPS in Q1, driven by “higher revenue, stronger gross margin and lower operating expenses”. investors will look for similar operational improvements rather than one‑off gains.
Foundry revenue may ease quarter over quarter due to earlier pull‑ins, constrained capacity on Intel 7 nodes and lower packaging volumes. Other segments are expected to hold flat. At the midpoint of guidance, cash flow trends and cost‑cutting efforts, including the wind‑down of its automotive architecture business, will be under scrutiny.
With shares having underperformed peers despite strategic shifts, a surprise beat could reignite investor confidence. The upcoming call may be a pivotal moment for Intel's turnaround narrative.
Is INTC Stock a Buy Before Earnings?
Based on the one year price targets offered by 32 analysts, the average target price for Intel Corp is $21.33 with a high estimate of $28.30 and a low estimate of $14.00. The average target implies a downside of -9.00% from the current price of $23.44.
Based on GuruFocus estimates, the estimated GF Value for Intel Corp in one year is $23.86, suggesting a upside of +1.79% from the current price of $23.44. 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. For deeper insights, visit the forecast page.
