Intel Corporation (INTC) News

Shareholders will never see any of the hundreds of millions paid to CEO over the past years. Must be nice to be rewarded so well, for such dismal performance.

Bigger question now, is who will replace Gelsinger? Every time a new manager comes in, they have to "shake things up" and "reorganize", before they even evaluate the problem. Egos making a name for themselves.

Most likely, he was politely escorted to the door, in order to save face.

Perhaps... but it is certainly true his goal was always get Intel back on track with silicon process and I firmly believe he accomplished that. I suspect it was not easy and he is likely pretty well cooked at this point. He also seemed pretty "tired" when he was talking about the layoffs. Intel did hit all their product schedules for 2024, which is a first in a very long time.

While it seems they still have a solid vision for silicon process technology, the product groups missed some pretty big market opportunities; not that they didn't take a shot at them, but they failed. Ponte Vecchio was a real dud. I am surprised by the Turin versus Granite Rapids benchmarks as the products should be similar but the 128 core Turin pretty well trounces the 128 core Granite Rapids. TSMC has said their N2 node will be significantly better than Intel_18a (this is different than reported at IEDM so I am not sure I believe it...).

I think at this point it is still wait and see.
Alan

Alan, the abrupt Gelsinger "retirement" has me worried. I fear Intel Corp may be close to being gone.

It seems Kryzanich used Intel as his private toy box instead of as a corporation. Swan cashed everything in without investing in the future.
NOW, here we are
Alan

got that little pop on ceo leaving but still need to get to 30's to regain momentum and signs of reversal.

I agree, joseph. Krzanich was a one-man wrecking crew.

the problem was NOT Gelsinger. The decline started with the delusional BK's tenure -- I learn from chipguy who was like my remote mentor-

Day order to buy Intel shares at $25.05 filled. GLTA

Took time but finally over $24!

Intel share price is in same Ascending Triple Top Breakout chart pattern mode, since 6-Nov-2024. GLTA

that is off regulatory issues

26's

Not going to happen. Gelsinger has called these "irresponsible rumors". Intel has a poison pill in place to prevent such a takeover. Intel will sell off the Altera unit, which may be the source of some of these rumors.

QCOM may buy Intel.  Elections do  crazy things.

X

25's looking good :) 30-40's within next few months barring any surprises.

Intel share price ASCENDING TRIPLE TOP BREAKOUT on 6-Nov-2024.

Who cares for low morals in leading at the top of leadership anymore,

What rules the world is Money... and my Port is in ATH.

Just celebrate, GLTA

only people giving up are the short termers flippers

decent move, will go more if they get into trade wars in china

Absolutely.

I won't give up on INTC. This will either be absorbed by another giant or get it's act together.

Intel being replaced by NVDA on the Dow.

Intel share price had a DOUBLE TOP BREAKOUT on 1-Nov-2024! GLTA

Intel Surges After Results Spark Optimism Over Turnaround
https://finance.yahoo.com/news/intel-surges-results-spark-optimism-201418916.html
Bloomberg
Ian King
Thu, October 31, 2024 at 4:46 PM MDT 5 min read

(Bloomberg) -- Intel Corp. gave a fourth-quarter revenue forecast slightly above estimates, sparking optimism that it’s capable of reclaiming some lost market share.

Fourth-quarter revenue will be $13.3 billion to $14.3 billion, the Santa Clara, California-based company said in a statement. That compares with the $13.6 billion analysts estimated on average. The company is projecting a profit of 12 cents a share compared with the 6 cents Wall Street projected.

The company gained 9.2% to $23.51 in extended trading, after closing at $21.52 in New York. The shares were down 57% so far this year.

Intel, once the industry leader in computer processors, is now working to preserve cash to fund a turnaround plan — one Chief Executive Officer Pat Gelsinger called the “most audacious rebuilding plan” in corporate history, in an interview with Bloomberg.

In the prior quarter, Intel cut jobs, slashed its spending and suspended investor payouts. The total headcount reduction will be 16,500. Now, Gelsinger needs to show that he can counterbalance the cash drain by generating new orders from customers.

“This was a critical period of time for the company,” Gelsinger said in the interview. “We got a lot done.”

The fall from investor favor for what was once the world’s largest chipmaker underlines a major shift in semiconductor industry in favor of artificial intelligence hardware. Companies are spending on computers built around accelerator chips for AI, an area where Intel’s offerings have barely made a dent. Instead, customers are fleeing for Nvidia Corp, fueling its massive rise.

Orders for Intel’s AI accelerator chip, Gaudi, have been weaker than projected and it won’t now reach the company’s $500 million revenue target this year, Gelsinger said on the post-earnings call with investors. Rival Advanced Micro Devices Inc. earlier this week increased its forecast for a similar product to more than $5 billion. Nvidia is on course to have revenue of more than $100 billion from its AI chip unit this year, according to analysts.

Intel’s decline in value has made it attractive to potential acquirers in various break-up scenarios, according to reporting by Bloomberg and other news organizations. Gelsinger has said some of the business units he thinks are undervalued will seek outside investors or look to sell shares to the public.

Gelsinger said he intends to keep the company together and has the support of the board for his plan. He has a “lot of energy and passion” to bring to that effort, he said.

“Obviously there’s a lot of attention on Intel which just reinforces what a central role it plays in the technology industry,” he said in the interview. “We believe distinct, but better together, is the strategy.”

The company is in negotiations with potential investors for its Altera programable chip unit. It expects to conclude that process early next year, Gelsinger said on a call with investors. Meanwhile, he’s reviewing options for similar actions for other parts of Intel’s business.

Intel’s leader was one of the chief lobbyists for the Chips and Science Act, a Biden administration industrial policy aimed at bringing back chip manufacturing to the US with tens of billions of dollars in public money support.

Gelsinger, in an interview with Bloomberg Television, said that Intel hasn’t yet received any of the funds to help with construction of new facilities in Arizona and Ohio, and criticized the speed at which support has been made available.

Still, he remains confident that, regardless of who wins the US presidential election, the initiative will continue. “The Chips Act was a bipartisan act with strong support from both sides of the aisle,” he said.

The company is also under siege in its traditional stronghold of selling processors for servers and personal computers. For decades, its superior manufacturing made its chips the market leader and locked down an improbably high market share. Since losing its lead in process technology to rival Taiwan Semiconductor Manufacturing Co., others such as Nvidia and AMD have been able to field competitive chips made by the provider of outsourced production.

Gelsinger’s expensive plans to take back leadership in that crucial area involve a new factory network that he plans to fill with orders from other chipmakers, in addition to Intel’s own designs. In the interim, Intel is facing depressed revenue and elevated costs. That’s destroyed profit margins that were once the envy of the industry.

Gross margin, or the percentage of sales remaining after deducting the cost of production, was 15% in the quarter. At its peak, Intel regularly reported gross margin of well above 60%.

In the third quarter, the company had a loss of 46 cents a share, excluding certain items, and revenue of $13.3 billion, down 6%. That quarterly sales total is its lowest for the third quarter in more than a decade but came in ahead of company projections, Gelsinger said.

Analysts had estimated a loss of 3 cents a share and sales of $13 billion. Wall Street is projecting a modest increase in overall sales this year from 2024, still leaving the company more than $20 billion below its peak in 2021.

Gelsinger remains confident that Intel is on the right track in the long run. He said Intel has paid the heavy price of catching up to the industry, and now can focus on its finances.

The chipmaker is reporting earnings for the third time under a new business structure that shows the financial performance of its manufacturing operations. Gelsinger has said the restructuring was a necessary step to make operations more efficient and competitive.

Its so-called foundry unit had sales that slipped 8% from the prior-year quarter to $4.4 billion, in line with estimates. PC chip sales were $7.3 billion, versus an estimate of $7.46 billion. It’s data center and AI chip unit gained 9% for sales of $3.3 billion, compared with an average estimate of $3.1 billion.

For the next two years, the majority of work done by Intel’s factories will come from orders from its own chip design unit. The financial benefit of outside business will start to show up in 2026, Gelsinger said.

Gelsinger emphasized on the call with investors that Intel is “far from satisfied” with where it is.

--With assistance from Ed Ludlow.

(Updates with Gelsinger comments on the Chips Act)

lol of course, but they beat estimate, got my trade and will play it accordingly gl.

Ugly!
INTC had made EPS of 41 cents per share during prior year's quarter. This year they LOST and the LOST BIG.
INTC posted a loss of 46 cents per share for the latest quarter.
INTC lost $2 Billion for the latest quarter!
This is a swing of -87 cents per share.
Most companies are reporting lower net income, and this is happening even while the government is inject $2.5 trillion per year.
Very overvalued. 9% of the GDP is fake.

Yup. Must be a good ER!

nice ah move :)

Intel share price had a Double Top Breakout on 25-Oct-2024.

Will A Q3 Surprise Reverse Intel Stock's 55% Decline?

https://www.forbes.com/sites/greatspeculations/2024/10/18/will-a-q3-surprise-reverse-intel-stocks-55-decline/

longer term play for those playing short term you won't get much movement, unless we hear update from apollo

18A seems to work.

https://www.electropages.com/blog/2024/10/intel-ceo-pat-gelsinger-hands-over-first-18a-panther-lake-sample-lenovo

Intel CEO Hands Over 18A Panther Lake Chip to Lenovo

In a significant milestone for both Intel and Lenovo, Intel CEO Pat Gelsinger officially handed over the first 18A Panther Lake sample to Lenovo during the recent TechWorld event...

...The release of Intel’s 18A Panther Lake chip is not just a technical achievement; it’s a cornerstone of Intel’s strategic roadmap. As the company pushes to advance its 18A process node, this milestone is pivotal in Intel’s journey to reassert its dominance in semiconductor manufacturing and AI-powered chip innovation...

I bought at $48 with a 5%div feeling great now lol

Sorry. I checked my Merrill account to see what price I bought them at. I actually bought 5 of the the Aug 2025 strike 30's at just over $2.

I think that makes sense.

It appears several important parties are interested in Intel. And Intel has had a leading role in the past in the industry under Andy Gove few decades ago.

What strike have you chosen on your calls?

You raised my interest.

I hope your prediction turns out to be accurate!

I think more likely than a buyout to boost the stock is positive guidance at earnings Oct. 31.
Alan

I picked up several INTC OCT 2025 calls last week. I am hoping for another buyout rumor, or an actual buyout offer to drive this higher.

Intel share price in Double Top Breakout since 8-Oct-2024.

As to how long this path may help to rising share prices... only the guru(s) may have some answers.

I am hesitaiaiting, lol.

Intel share price has been on Ascending Triple Top Breakout since 25-Sep-2024.

How long Intel will be on this bullish path is the question at this time.

We shall see. GLTA

Looking really good. Glad I averaged down instead of sold $INTC

I just add and hold

The Yearly Net has come down significantly. I'll wait and see.

When I saw all the negative news on INTC under 20.00 I loaded calls for mid next year up 125% already.

The new gaming chips will be a great addition Intel!

Next will get a new likeable seasoned CEO which will be a big catalyst!

$INTC

Yeah will be regulatory issues if Qualcomm announce official takeover but I am sure their "lawyers" are working on it

Wonder if the US gov would allow it like US steel selling off to Japan?

yep we will see soon enough if it all goes through gonna be a good one.

Apollo Eyes $5 Billion Investment in Intel; TSMC and Samsung Explore UAE Chip Projects, and More

looks promising $intel