Why should I invest in Intel? (2024)

Why should I invest in Intel?

Intel is gearing up to make a big splash in AI

Is Intel a good stock to buy?

Intel is the third-worst performer in the S&P 500 SPX so far this year, with a roughly 36% stock-price decline over the course of 2024.

Why choose Intel stock?

One of the best-valued AI stocks around

This chart shows Intel as potentially the best-valued AI chip stock. Intel's forward price-to-earnings and price-to-sales ratios are significantly lower than those of fellow chipmakers Nvidia and AMD.

Is Intel a good stock to buy in 2024?

The Motley Fool recommends Intel and recommends the following options: long January 2025 $45 calls on Intel and short May 2024 $47 calls on Intel.

Is Intel expected to grow?

Over the long term, Intel aims to grow its adjusted gross margin from 44% in 2023 to 60% and expand its adjusted operating margin from 9% to 40%. Those are ambitious targets, but analysts expect adjusted EPS to increase by 28% in 2024 and 67% in 2025 as it upgrades its plants and economies of scale kick in.

Is Intel a good long term buy?

Intel's shares are down about 28% in the last two years as the market noted Intel's headwinds. In response these challenges, Intel has launched a massive transformation that could make it an excellent long-term investment.

Does Intel stock have a future?

Analyst Future Growth Forecasts

Earnings vs Market: INTC's earnings (25.4% per year) are forecast to grow faster than the US market (14.7% per year). High Growth Earnings: INTC's earnings are expected to grow significantly over the next 3 years.

What are the advantages of Intel company?

What is Intel best known for?

Intel Corp. is the world's largest manufacturer of central processing units and semiconductors. The company is best known for CPUs based on its x86 architecture, which was created in the 1980s and has been continuously modified, revised and modernized.

Why is Intel so important?

Intel supplies microprocessors for most manufacturers of computer systems, and is one of the developers of the x86 series of instruction sets found in most personal computers (PCs).

Can Intel stock reach $100?

INTC Stock: $100 Might Come Sooner Than You Think

It's just foolish to bet against a company with such strong public-sector financial backing. With that funding, Intel may be able to leapfrog ahead of its chipmaking competitors in the U.S. Hence, Chowdhry's $100 Intel share-price target isn't entirely unrealistic.

Why Intel stock is not growing?

Admittedly, Intel is contending with some tangible headwinds. Advanced Micro Devices has been chipping away at its central processing unit (CPU) market share. Personal computer (PC) sales haven't bounced back as quickly as expected following a surge in sales during the early stages of the pandemic.

What stock will boom in 2024?

Why is Intel stock so low?

Intel observed slightly weaker-than-expected trends during the quarter and called out near-term supply constraints. As a result, guidance wasn't encouraging, as revenue and EPS guidance for the next quarter both missed analysts' expectations by a meaningful magnitude.

Will Intel stock make a comeback?

After several difficult years, Intel (INTC) stock is now marching higher once again. The reversal of fortune comes as Intel's transformation to a chip foundry takes hold and its earnings improve.

Is Intel a good dividend stock?

Over the past three years, Intel Corp's annual dividend growth rate was -17.50%. Extended to a five-year horizon, this rate increased to -5.40% per year. And over the past decade, Intel Corp's annual dividends per share growth rate stands at 2.50%.

Is Intel financially healthy?

Intel has a debt to EBITDA ratio of 2.5, which signals significant debt, but is still pretty reasonable for most types of business. However, its interest coverage of 1k is very high, suggesting that the interest expense on the debt is currently quite low.

Why is Intel stock growing?

KEY TAKEAWAYS. The U.S. government awarded Intel up to $8.5 billion in CHIPS Act funding to expand domestic chip production facilities. Intel could also be eligible for an additional $11 billion in loans.

Does Intel have a lot of debt?

Total debt on the balance sheet as of December 2023 : $49.27 B. According to Intel's latest financial reports the company's total debt is $49.27 B. A company's total debt is the sum of all current and non-current debts.

Who is the largest shareholder of Intel?

According to the latest TipRanks data, approximately 25.38% of Intel (INTC) stock is held by institutional investors. According to the latest TipRanks data, approximately 53.41% of Intel (INTC) stock is held by retail investors. Vanguard owns the most shares of Intel (INTC).

What is the prediction for Intel?

Stock Price Forecast

The 28 analysts with 12-month price forecasts for Intel stock have an average target of 42.61, with a low estimate of 17 and a high estimate of 66. The average target predicts an increase of 21.36% from the current stock price of 35.11.

Is Intel a good AI stock?

One of the best-valued AI stocks around

This chart shows Intel as potentially the best-valued AI chip stock. Intel's forward price-to-earnings and price-to-sales ratios are significantly lower than those of fellow chipmakers Nvidia and AMD. These figures make Intel a bargain compared to its competitors.

Is Intel company profitable?

Intel annual gross profit for 2023 was $21.711B, a 19.19% decline from 2022. Intel annual gross profit for 2022 was $26.866B, a 38.68% decline from 2021.

How does Intel make most of its money?

Beyond being just a PC-centric company

Intel's largest segment in terms of revenue is the PC-focused Client Computing division, a business unit that includes central processing units (CPUs) for PCs.

What is the competitive advantage of Intel?

Intel's success is due to its consistent focus on research and development, thereby pushing the boundaries of chip performance and efficiency. Intel has played an important role in driving the digital revolution, delivering groundbreaking technologies and architectures that have transformed the computing landscape.