Technology
Despite Beating Estimates, Are Intel's Earnings Enough?
Published:
Last Updated:
The company gave fourth-quarter guidance of $14.8 billion in revenue, give or take $500 million, with an expected gross margin in the area of 62%. There is a consensus estimate of $14.83 billion in revenue for the fourth quarter.
During the quarter, Intel generated approximately $5.7 billion in cash from operations, paid dividends of $1.1 billion, and used $1.0 billion to repurchase 36 million shares of stock.
In the report the company gave a few business highlights as:
Intel CEO Brian Krzanich commented on earnings:
We executed well in the third quarter and delivered solid results in a challenging economic environment. The quarter demonstrates Intel innovation in action. Customers are excited about our new 6th Gen Intel Core processor, and we introduced our breakthrough 3D XPoint technology, the industry’s first new memory category in more than two decades.
On the books the company had cash, equivalents, and short term investments totaling $14.2 billion compared to $4.99 billion at the end of December 2014.
Shares of Intel closed Tuesday down 0.5% at $32.04 on its 52-week trading range of $24.87 to $32.48. Following the release of the earnings report, shares traded up 0.4% at $32.16 in the after-hours trading session. The stock has a consensus analyst price target of $33.90.
Ever wanted an extra set of eyes on an investment you’re considering? Now you can speak with up to 3 financial experts in your area for FREE. By simply
clicking here you can begin to match with financial professionals who can help guide you through the financial decisions you’re making. And the best part? The first conversation with them is free.
Click here to match with up to 3 financial pros who would be excited to help you make financial decisions.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.