Latest news with #GraniteRapids
Business Insider
2 days ago
- Business
- Business Insider
Rebranding: Intel Stock (NASDAQ:INTC) Slips as Multiple Chip Rebrands Emerge
Rebrand; that was the word of the day at chip stock Intel (INTC) as news of multiple rebranded chips emerged. Whether it was a line heading to China for export or a line without such tight geographic focus, 'rebrand' was the phrase that paid. Unfortunately, Intel investors did not much care for the branding shuffle, and sent Intel shares sliding over 3% in Monday afternoon's trading. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. First came word about the Granite Rapids line, which got a bit of a redesign and rebrand for the Chinese market. Montage Technology rolled out the new Jintide C6P line of processors for servers. Based on the Generation Xeon Scalable line, Montage set up a deal with Intel back in 2016 to reconfigure Intel processors, and to pack in new features as needed to be sold in the market. In this case, that means significant new security features, reports note. In particular, the chips will include a line of data encryption algorithms as well as decryption algorithms as well as some key 'surveillance features.' Given that the chips in question are likely to become part of Chinese government operations, as well as financial operations and healthcare markets, having these features built in might be a good play. Bartlett Lake May Get Third Rebrand Meanwhile, the Bartlett Lake line may see another rebrand itself, its third so far, according to reports. The Bartlett Lake line gave birth to the Bartlett Lake-S line, and may ultimately end up as 'Bartlett Lake Hybrid.' In fact, reports note Intel is planning to incorporate both Raptor Lake and Alder Lake chips into the Bartlett Lake generation, declaring the whole match Bartlett Lake Hybrid. Intel will be moving the Bartlett Lake-S line to the Core 2 series, reports note, and this particular line will not have the 'Ultra' brand extension added on. This might sound a bit like shuffling deck chairs on the Titanic, but there is generally something to be said for having the metaphorical t's crossed and i's dotted. Is Intel a Buy, Hold or Sell? Turning to Wall Street, analysts have a Hold consensus rating on INTC stock based on one Buy, 26 Holds and three Sells assigned in the past three months, as indicated by the graphic below. After a 14.13% rally in its share price over the past year, the average INTC price target of $22.24 per share implies 6.63% downside risk. Disclosure
Yahoo
16-07-2025
- Business
- Yahoo
As Intel Spins Out Its AI Robotics Arm, How Should You Play INTC Stock Here?
Intel's (INTC) decision to spin out its AI robotics division, RealSense, marks another strategic move in the chipmaker's ongoing transformation under new CEO Lip-Bu Tan. The $50 million Series A funding round for RealSense, which includes participation from MediaTek Innovation Fund and Intel Capital, signals both the promise of the robotics industry and Intel's need to streamline operations while maintaining exposure to high-growth markets. The spinout suggests a calculated approach to asset optimization during a challenging period for Intel. The chip maker is targeting $17 billion in operating expenses for 2025 and $16 billion for 2026. So, divesting non-core assets while retaining minority stakes allows Intel to reduce operational complexity while preserving upside potential. Dear Nvidia Stock Fans, Mark Your Calendars for July 16 How to Buy Tesla for a 13% Discount, or Achieve a 26% Annual Return Retirement Ready: 3 Dividend Stocks to Set and Forget Get exclusive insights with the FREE Barchart Brief newsletter. Subscribe now for quick, incisive midday market analysis you won't find anywhere else. RealSense, formerly Intel Perceptual Computing, has been developing 3D vision technology for over a decade and serves autonomous robot manufacturers, including Eyesynth and Unitree Robotics. Intel is under pressure to execute on its foundry strategy and regain a competitive positioning in core markets where it has lost market share to Nvidia (NVDA) and Advanced Micro Devices (AMD). Under Tan's leadership, the company has adopted a more focused approach, emphasizing customer service and manufacturing excellence. The robotics market opportunity is expanding at an exponential pace, with Morgan Stanley projecting the humanoid robotics market to reach $5 trillion by 2050. However, Intel's decision to spin out rather than fully divest RealSense suggests management believes the robotics opportunity may not align with the immediate priorities of fixing core CPU competitiveness and foundry execution. For investors, the spinout showcases disciplined capital allocation and a willingness to unlock value from non-core assets. Intel's ability to attract external investment in RealSense while maintaining a minority stake indicates strategic thinking about portfolio optimization. However, the broader context remains challenging. Intel continues to wrestle with manufacturing execution, as it faces supply constraints on Intel 7 while ramping 18A production. The company's data center market share erosion persists, despite some stabilization efforts with products like Granite Rapids. Competition from both traditional rivals and ARM-based alternatives intensifies across client and server segments. The path forward for Intel stock likely depends more on foundry execution and product competitiveness than robotics spinout proceeds. Tan's emphasis on organizational flattening, return-to-office mandates, and engineering talent retention suggests awareness of cultural issues hampering innovation. Yet meaningful product leadership recovery will take time, particularly in AI workloads where Intel trails significantly. Intel stock reported a net loss of $0.13 per share in 2024 and is forecast to end 2025 with earnings of $0.30 per share. Moreover, Wall Street estimates earnings to improve to $2.70 per share in 2028. If INTC stock trades at 15 times forward earnings, it will be priced at $40 in early 2028, indicating an upside potential of almost 90% from current levels. Out of the 38 analysts covering INTC stock, one recommends 'Strong Buy,' 32 recommend 'Hold,' and five recommend 'Strong Sell.' The average target price for Intel stock is $22.55, below the current trading price. On the date of publication, Aditya Raghunath did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
27-04-2025
- Business
- Yahoo
Intel: Now Or Never
After a series of missteps over the years, Intel, once the market leader and a sign of innovation, lost its position. It is now facing substantial financial pressure as losses pile up. However, its last move, given the market's circumstances, could change direction and save it, putting it in a formidable position. Intel's revenue is a cause of concern as in 2022, 2023, and 2024, it had declines in sales of 20.2%, 14%, and 2.1%, respectively. Although the rate of decline is decreasing as well, this could get back to double-digit levels if the company does not stop losing market share. In the profitability side, the company went from a mid-30% net income range in 2019 to a 7.2% loss in 2024. This reveals difficulties in pricing its products competitively and a massive capital expenditure related to manufacturing expansion. Free cash flow turned negative in 2022, and since then, the loss margin has been in the high 20s Intel's product line shows signs of revitalization, with processors rivaling AMD's gaming. This shows a much-needed technical upgrade from past versions, where they consistently fell behind AMD. On the server side, performance benchmarks show that the new Granite Rapids platform outperforms the competition. As presented by Phorinix in the following tests: GROMACS is a molecular dynamics package mainly designed to simulate proteins, lipids, and nucleic acids. Granite Rapids GROMACS performance (Source Phoronix) OpenFOAM is a C++ toolbox for developing customized numerical solvers and pre-/post-processing utilities for solving continuum mechanics problems, most prominently including computational fluid dynamics. Granite Rapids OpenFOAM performance (Source Phoronix) NAS Parallel LU The NAS Parallel LU is a Lower-Uppersymmetric Gauss-Seidel kernel that requires a good memory and compute bandwidth balance. The discrete GPU efforts are yielding products with reasonable performance, getting close to AMD, and a price advantage, with the best price per FPS. However, competition against NVIDIA is yet to be seen, as the ecosystem for NVIDIA GPUs is now the most robust. Warning! GuruFocus has detected 7 Warning Signs with INTC. With the new tariffs implemented and the ever-increasing tensions, domestic production of high-performance chips is growing in importance. Taiwan, where TSMC is located, has been constantly under the risk of annexation by China and will be one of the first places to be invaded in a case of escalation. This is a significant security threat for the US, which depends on its production. Companies like Apple, NVIDIA, AMD, Broadcom, and Qualcomm all depend on TSMC's manufacturing power. To address this problem, the US government has created the CHIPS Act, with $39 billion directed to semiconductor manufacturing projects, which signals interest in the matter. Due to the industry's capital-intensive nature -Intel's capex is already over $25 billioneven more funds could be approved. Intel is leading the charge on domestic production. While AMD, Apple, and NVIDIA will use TSMC's plants in the US, Intel is building its own. This reduces costs, keeps earnings local, and avoids the risk of TSMC being overloaded with orders or plagiarizing technology in the case of falling into China's control, making Intel an ideal candidate for government aid. The cornerstone of Intel's turnaround is its IDM 2.0 strategy, which aims to restore manufacturing leadership while simultaneously building a foundry services business. This dual approach requires unprecedented capital expenditure, with the company moving from $16 billion in 2019 to over $25 billion in 2022 and 2023. If Intel's plans work out. It'll be the only PC/server company to develop and produce its chips in the US at scale, beating (at least for a moment) AMD in the long-standing battle between the two. Investors seem to be overlooking this possibility, as Intel is trading below AMD's and peer numbers. Intel trades at relatively undemanding multiples compared to its semiconductor peers, with a P/S ratio of 1.54 versus the industry average of 2.38 and a 4.39 for AMD. This discount reflects the current sentiment about the company since its missteps. The valuation incorporates significant skepticism regarding Intel's ability to restore technology leadership and manufacturing competitiveness. Under these circumstances, if the company executes its roadmap successfully and takes back its place and market share, there is substantial upside potential from current levels. GuruFocus's valuation of the company seems to consider this and serves as a point of reference for the company's fair price. Intel's balance sheet has deteriorated as the company funds its manufacturing transformation. Long-term debt increased substantially, from $33 billion in 2020 to over $46 billion by 2024. The company's decision to cut its dividend by 66% in early 2023 signaled the financial pressure created by its capital-intensive strategy. The CEO of TSMC has seen the risk of being replaced and now wants to invest $100 billion in US soil to manufacture its technology there. However, the deal needs to be approved by the Taiwanese government, and fears of losing the protective effect of the semiconductor business might disincentivize the approval. This movement can be seen as TSMC trying to flee Taiwan, leaving behind the risks of annexation by China and an unprotected country. Hence, the approval is unlikely when national interests weigh more. Intel faces intensifying competition across its business units: Data centers: AMD has leveraged TSMC's manufacturing advantages to deliver superior performance per watt, increasing its server market share from single digits to 33% by Q1Y2024. Furthermore, since its unit market share is 23.6%, that means AMD chips command a higher price per unit. Nvidia with its GPUs being more efficient for AI applications, has completely dominated the AI accelerator market, with Intel's efforts in this high-growth segment yielding minimal traction. Client computing: Apple moved away from Intel to create its own processors, yielding high performance and never-before-seen battery life. At the same time, AMD's chips are becoming the go-to for Windows machines. Intel represents a high-risk, potentially high-reward investment proposition. With current levels of instability at an all-time high across most industries, the stock price presents a strong appeal. The current trade war can be a tailwind for the company and one of the few to come out of this with a positive experience. However, this position should be sized conservatively within a diversified portfolio, acknowledging the substantial execution risks. Intel's plans will require years to materialize, testing investor patience. Yet for those who can maintain a truly long-term perspective, the company's combination of engineering talent, manufacturing scale, and governmental support provides a foundation for potential value creation that the market may be underappreciating. This article first appeared on GuruFocus. Sign in to access your portfolio
Yahoo
27-04-2025
- Business
- Yahoo
Intel: Now Or Never
After a series of missteps over the years, Intel, once the market leader and a sign of innovation, lost its position. It is now facing substantial financial pressure as losses pile up. However, its last move, given the market's circumstances, could change direction and save it, putting it in a formidable position. Intel's revenue is a cause of concern as in 2022, 2023, and 2024, it had declines in sales of 20.2%, 14%, and 2.1%, respectively. Although the rate of decline is decreasing as well, this could get back to double-digit levels if the company does not stop losing market share. In the profitability side, the company went from a mid-30% net income range in 2019 to a 7.2% loss in 2024. This reveals difficulties in pricing its products competitively and a massive capital expenditure related to manufacturing expansion. Free cash flow turned negative in 2022, and since then, the loss margin has been in the high 20s Intel's product line shows signs of revitalization, with processors rivaling AMD's gaming. This shows a much-needed technical upgrade from past versions, where they consistently fell behind AMD. On the server side, performance benchmarks show that the new Granite Rapids platform outperforms the competition. As presented by Phorinix in the following tests: GROMACS is a molecular dynamics package mainly designed to simulate proteins, lipids, and nucleic acids. Granite Rapids GROMACS performance (Source Phoronix) OpenFOAM is a C++ toolbox for developing customized numerical solvers and pre-/post-processing utilities for solving continuum mechanics problems, most prominently including computational fluid dynamics. Granite Rapids OpenFOAM performance (Source Phoronix) NAS Parallel LU The NAS Parallel LU is a Lower-Uppersymmetric Gauss-Seidel kernel that requires a good memory and compute bandwidth balance. The discrete GPU efforts are yielding products with reasonable performance, getting close to AMD, and a price advantage, with the best price per FPS. However, competition against NVIDIA is yet to be seen, as the ecosystem for NVIDIA GPUs is now the most robust. Warning! GuruFocus has detected 7 Warning Signs with INTC. With the new tariffs implemented and the ever-increasing tensions, domestic production of high-performance chips is growing in importance. Taiwan, where TSMC is located, has been constantly under the risk of annexation by China and will be one of the first places to be invaded in a case of escalation. This is a significant security threat for the US, which depends on its production. Companies like Apple, NVIDIA, AMD, Broadcom, and Qualcomm all depend on TSMC's manufacturing power. To address this problem, the US government has created the CHIPS Act, with $39 billion directed to semiconductor manufacturing projects, which signals interest in the matter. Due to the industry's capital-intensive nature -Intel's capex is already over $25 billioneven more funds could be approved. Intel is leading the charge on domestic production. While AMD, Apple, and NVIDIA will use TSMC's plants in the US, Intel is building its own. This reduces costs, keeps earnings local, and avoids the risk of TSMC being overloaded with orders or plagiarizing technology in the case of falling into China's control, making Intel an ideal candidate for government aid. The cornerstone of Intel's turnaround is its IDM 2.0 strategy, which aims to restore manufacturing leadership while simultaneously building a foundry services business. This dual approach requires unprecedented capital expenditure, with the company moving from $16 billion in 2019 to over $25 billion in 2022 and 2023. If Intel's plans work out. It'll be the only PC/server company to develop and produce its chips in the US at scale, beating (at least for a moment) AMD in the long-standing battle between the two. Investors seem to be overlooking this possibility, as Intel is trading below AMD's and peer numbers. Intel trades at relatively undemanding multiples compared to its semiconductor peers, with a P/S ratio of 1.54 versus the industry average of 2.38 and a 4.39 for AMD. This discount reflects the current sentiment about the company since its missteps. The valuation incorporates significant skepticism regarding Intel's ability to restore technology leadership and manufacturing competitiveness. Under these circumstances, if the company executes its roadmap successfully and takes back its place and market share, there is substantial upside potential from current levels. GuruFocus's valuation of the company seems to consider this and serves as a point of reference for the company's fair price. Intel's balance sheet has deteriorated as the company funds its manufacturing transformation. Long-term debt increased substantially, from $33 billion in 2020 to over $46 billion by 2024. The company's decision to cut its dividend by 66% in early 2023 signaled the financial pressure created by its capital-intensive strategy. The CEO of TSMC has seen the risk of being replaced and now wants to invest $100 billion in US soil to manufacture its technology there. However, the deal needs to be approved by the Taiwanese government, and fears of losing the protective effect of the semiconductor business might disincentivize the approval. This movement can be seen as TSMC trying to flee Taiwan, leaving behind the risks of annexation by China and an unprotected country. Hence, the approval is unlikely when national interests weigh more. Intel faces intensifying competition across its business units: Data centers: AMD has leveraged TSMC's manufacturing advantages to deliver superior performance per watt, increasing its server market share from single digits to 33% by Q1Y2024. Furthermore, since its unit market share is 23.6%, that means AMD chips command a higher price per unit. Nvidia with its GPUs being more efficient for AI applications, has completely dominated the AI accelerator market, with Intel's efforts in this high-growth segment yielding minimal traction. Client computing: Apple moved away from Intel to create its own processors, yielding high performance and never-before-seen battery life. At the same time, AMD's chips are becoming the go-to for Windows machines. Intel represents a high-risk, potentially high-reward investment proposition. With current levels of instability at an all-time high across most industries, the stock price presents a strong appeal. The current trade war can be a tailwind for the company and one of the few to come out of this with a positive experience. However, this position should be sized conservatively within a diversified portfolio, acknowledging the substantial execution risks. Intel's plans will require years to materialize, testing investor patience. Yet for those who can maintain a truly long-term perspective, the company's combination of engineering talent, manufacturing scale, and governmental support provides a foundation for potential value creation that the market may be underappreciating. This article first appeared on GuruFocus. Sign in to access your portfolio
Yahoo
27-04-2025
- Business
- Yahoo
Intel (NasdaqGS:INTC) Collaborates on AI Education in Ohio Amid Earnings Report
In the recent period, Intel experienced a 14% price increase, coinciding with significant events, including the launch of Ohio's AI Education Network and the announcement of its Q1 earnings results. The company's collaboration in the AI initiative, aiming to boost education in the state, may have provided a positive sentiment. However, the notable aspects were the Q1 results revealing a drop in sales and a higher net loss, which could have weighed against broad market gains. While broader market trends showed a positive shift, Intel's specific events, especially its future outlook, likely influenced its stock volatility during the period. We've spotted 1 possible red flag for Intel you should be aware of. These 13 companies survived and thrived after COVID and have the right ingredients to survive Trump's tariffs. Discover why before your portfolio feels the trade war pinch. The recent developments surrounding Intel, including its collaboration with Ohio's AI Education Network and the Q1 earnings announcement, may have contributed positively to its short-term share price increase of 14%. However, these events also bring to light challenges reflected in the company's longer-term performance, where its total return, including share price and dividends, was a 38.15% decline over the past year. This significant decrease indicates broader challenges for Intel beyond the immediate news, mirroring larger headwinds faced in its business operations. In terms of market position, Intel underperformed both the broader US market and the US Semiconductor industry over the one-year span, which saw respective returns of 7.9% and 9.9%. This relative underperformance may factor into analysts' revenue and earnings forecasts, as Intel grapples with pressures in the AI and data center sectors potentially influencing future financial outcomes. Revenue forecasts suggest modest growth, yet competitive pricing strategies could impact profit margins. Despite the share price currently standing at US$21.53, it trades closely to the consensus analyst price target of US$22.11, suggesting limited upside according to prevailing market expectations. The recent increase in share value potentially narrows this gap, reflecting cautious optimism about Intel's strategic initiatives and upcoming projects such as Granite Rapids and Panther Lake. Investors are encouraged to consider these elements when evaluating the company's future trajectory and its alignment with analyst projections. Insights from our recent valuation report point to the potential undervaluation of Intel shares in the market. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include NasdaqGS:INTC. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@ Sign in to access your portfolio
