Why Intel Stock Dipped by More Than 2% Today
Shares of semiconductor giant Intel (NASDAQ: INTC) were down by 2.2% as of 1 p.m. ET Wednesday after an executive spooked investors with remarks he made at its Innovation Conference Tuesday afternoon.
Already years into an expected turnaround in its chip business, CFO David Zinser disappointed investors when he warned that Intel is still more than a year away from even breaking even on operating cash flow. He also admitted that rather than rebounding, revenue from the company's data center unit (Intel's second-biggest business, according to data from S&P Global Market Intelligence, but stuck in a decline for the past two years) is still declining.
Responding to these revelations Wednesday morning, investment bank Morgan Stanley opined that they were "no big surprise," and mostly took the news in stride. But in another report early Wednesday morning, Citigroup analyst Christopher Danely pointed out that Intel's new guidance is below the consensus of what Wall Street analysts had forecast for the company -- suggesting it may be heading for an earnings miss.
Source Fool.com
Intel Corp. Stock
Currently there is a rather positive sentiment for Intel Corp. with 27 Buy predictions and 15 Sell predictions.
As a result the target price of 38 € shows a very positive potential of 90.59% compared to the current price of 19.94 € for Intel Corp..
