What to Expect When Intel Reports After the Close

By Chris Lange Published Apr 23, 10:25AM EDT

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What to Expect When Intel Reports After the Close — © grebcha / iStock

Intel Corp. (NASDAQ: INTC | INTC Price Prediction) is scheduled to release its first-quarter financial results after the markets close on Thursday. The consensus estimates are calling for $1.28 in earnings per share (EPS) and $18.7 billion in revenue. In the same period of last year, the chip giant said it had $0.89 in EPS and $16.06 billion in revenue.

The company previously issued guidance for the first quarter, but it’s highly likely that this will not hold up as the global economy was put on pause. However, at that time Intel said that it expected to see EPS of $1.30 and revenues over $19.0 billion.

For the most recent quarter, data-centric businesses achieved record revenue, led by record Data Center Group revenue. Its revenue grew 19% year over year, driven by robust demand from cloud service provider customers and a continued strong mix of high-performance processors.

Internet of Things Group revenue was up 13% on strength in retail and transportation compared to the fourth quarter of 2018. Mobileye achieved record revenue, up 31% year over year on increasing Advanced Driver Assistance Systems adoption.

Intel’s memory business was up 10% on continued NAND and Intel Optane bit growth. Programmable Solutions Group fourth-quarter revenue was down 17%.

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The PC-centric business was up 2% on higher modem sales and desktop platform volumes.

Excluding Thursday’s move, Intel stock had outperformed the S&P 500 and Dow Jones industrial average, with its share price flat year to date. In the past 52 weeks, the stock was up only 2%.

Here’s what analysts said about Intel ahead of the report:

Jefferies has a Hold rating with a $62 price target.
Susquehanna has a Hold rating and a $56 price target.
Sanford Bernstein has a Hold rating.
Raymond James has a Market Perform rating and a $75 price target.
Barclays has an Equal Weight rating with a $58 target price.
Northland Securities rates it as Market Perform with a $60 price target.

Intel stock traded down about 1% to $59.51 on Thursday, in a 52-week range of $42.86 to $69.29. The consensus price target is $63.38.

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About the Author Chris Lange →

Chris Lange is a writer for 24/7 Wall St., based in Houston. He has covered financial markets over the past decade with an emphasis on healthcare, tech, and IPOs. During this time, he has published thousands of articles with insightful analysis across these complex fields. Currently, Lange's focus is on military and geopolitical topics.

Lange's work has been quoted or mentioned in Forbes, The New York Times, Business Insider, USA Today, MSN, Yahoo, The Verge, Vice, The Intelligencer, Quartz, Nasdaq, The Motley Fool, Fox Business, International Business Times, The Street, Seeking Alpha, Barron’s, Benzinga, and many other major publications.

A graduate of Southwestern University in Georgetown, Texas, Lange majored in business with a particular focus on investments. He has previous experience in the banking industry and startups.