Key Takeaways
- Intel is scheduled to report first-quarter earnings after the market closes Thursday.
- The report is the chipmaker’s first under CEO Lip-Bu Tan, who took over in March.
- The analysts who follow Intel and are tracked by Visible Alpha have unanimously issued “hold” or equivalent ratings for the company’s stock.
- Intel’s revenue and adjusted net income are expected to have declined year-over-year.
Intel (INTC) is slated to report first-quarter results after the market closes Thursday, marking the chipmaker’s first report since Lip-Bu Tan was named CEO in mid-March.
The quarter includes less than a month of Tan’s tenure, and Wall Street has largely adopted a wait-and-see approach on evaluating the company under his leadership. The 12 analysts tracked by Visible Alpha who follow Intel have unanimously issued “hold” or equivalent ratings for the stock. Their consensus price target of just under $23 would suggest about 10% upside from Wednesday’s closing price.
Shares jumped after Tan’s appointment but gave back most of those gains in the following weeks. The stock popped again this week, though, on a report that Intel plans to lay off more than 20% of its staff as part of Tan’s first major cost-cutting initiative. Year-to-date, Intel’s stock is up over 6%.
Analysts expect Intel to report first-quarter revenue of $12.34 billion, down 3% year-over-year, and adjusted net income of $41.6 million, or 1 cent per share, down from $759 million, or 18 cents per share, a year earlier.
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