Intel: Wall Street Is Asleep At The Wheel

(10min)

Summary

  • I am reiterating my "Buy" rating on Intel, believing the market is overly pessimistic. New CEO Lip-Bu Tan is the right leader to execute a successful, sustainable turnaround.
  • Tan's strategy focuses on cutting bureaucracy, selling non-core assets to reduce debt, and fostering an engineer-driven culture that prioritizes R&D to restore Intel's innovation engine.
  • Intel's strategic moves in AI, including the Saimemory partnership and product roadmap, position it well to regain share in key markets.
  • While foundry losses persist, Tan's de-risked strategy and ecosystem partnerships could enable breakeven by FY2027, offering substantial upside for patient investors.
  • I believe the new management's plan will lead to a positive narrative shift, making the current stock price an attractive entry point for patient investors.

Красная стрелка движется вверх, оборот и коррекция бизнеса, лучший бизнес-путь, 3d рендеринг

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My Coverage History

I initiated coverage of Intel Corporation (INTC) (INTC:CA) stock with a "Buy" rating in July 2024, anticipating that revenue in the company's key segments - CCG and DCAI - would start to recover

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This article was written by

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Oakoff Investments is a personal portfolio manager and a quantitative research analyst with 5 years helping readers find a reasonable balance between growth and value by sharing proprietary Wall Street information.

He leads the investing group Beyond the Wall Investing with features that include: a fundamentals-based portfolio, weekly analysis on insights from institutional investors, regular alerts for short-term trade ideas based on technical signals, ticker feedback by request from readers, and community chat. Learn more.

Analyst’s Disclosure:I/we have a beneficial long position in the shares of INTC either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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