Intel Corporation witnessed a 9.4 percent stock decline following quarterly earnings results that disappointed investors. The semiconductor manufacturer exceeded revenue projections with $12.9 billion against analyst expectations of $11.9 billion. However, the company reported a one-cent loss per share versus anticipated one-cent profit. Management announced workforce reductions affecting 30 percent of employees to reduce operational costs. Chief Executive Lip-Bu Tan revealed plans to restrict advanced 18A manufacturing technology for internal applications only.
JPMorgan analysts maintained their underweight rating while raising price targets from $20 to $21 per share. The investment bank expressed concerns about potential order declines during the year's latter half due to tariff-related purchasing acceleration. Customers may have advanced chip purchases to avoid anticipated price increases from trade policies. This front-loading of orders could create demand weakness when companies reduce future procurement. JPMorgan questioned Intel's foundry business viability and potential transition to fabless operations.
JPMorgan analysts maintained their underweight rating while raising price targets from $20 to $21 per share. The investment bank expressed concerns about potential order declines during the year's latter half due to tariff-related purchasing acceleration. Customers may have advanced chip purchases to avoid anticipated price increases from trade policies. This front-loading of orders could create demand weakness when companies reduce future procurement. JPMorgan questioned Intel's foundry business viability and potential transition to fabless operations.
