Intel Corporation (NASDAQ: INTC) saw its stock price decline 6.9% to $24.12 on Thursday, as the chipmaker grapples with mixed investor sentiment and analyst downgrades. Despite the stock’s drop, institutional investors are doubling down on their Intel holdings, signaling potential long-term confidence in the tech giant.
📈 Natixis Advisors LLC Boosts Intel Holdings by 81.9%
According to its latest SEC filing, Natixis Advisors LLC significantly increased its stake in Intel during Q4 2024, raising its holdings by 81.9%.
- The fund now owns 580,122 shares of Intel, after purchasing an additional 261,264 shares in the quarter.
- The total value of Natixis’ Intel holdings reached $11.63 million by the end of the reporting period.
🏦 Institutional Investors Continue to Bet on Intel
Several other institutional investors also boosted their stakes in Intel during the previous quarter:
- Quest Partners LLC raised its position by a staggering 7,370.6%, now holding 1,270 shares worth $30,000.
- Finley Financial LLC, Synergy Investment Management LLC, BankPlus Trust Department, and Keystone Financial Group Inc. all acquired new positions in Intel, with holdings valued between $25,000 and $30,000.
- Institutional investors and hedge funds now collectively own 64.53% of Intel’s outstanding shares.
📉 Intel’s Disappointing Q4 Earnings Weigh on Stock
Intel reported Q4 2024 earnings on January 30, posting a $0.02 per share loss, which missed analyst estimates by $0.14.
- Revenue fell short of expectations, and the company posted a negative net margin of 35.32%.
- Return on equity came in at -3.27%, further disappointing investors.
⚠️ Analyst Ratings Reflect Cautious Sentiment
Equities analysts have lowered their price targets on Intel following the underwhelming earnings report:
- Wells Fargo & Company slashed its target price from $28.00 to $25.00, maintaining an “equal weight” rating.
- Truist Financial cut its price target from $22.00 to $21.00, giving the stock a “hold” rating.
- Benchmark and Roth Mkm reiterated “hold” ratings, with Roth Mkm dropping its price target from $25.00 to $20.00.
- HSBC Global Res provided a rare upgrade, moving Intel from a “moderate sell” to a “hold” rating on January 21.
💡 According to MarketBeat.com, Intel currently holds a consensus rating of “Hold” based on:
- 4 sell ratings
- 28 hold ratings
- 1 buy rating
- The average target price sits at $27.04, suggesting limited upside potential in the near term.
🔍 Key Financial Metrics at a Glance
- Market Cap: $104.44 billion
- P/E Ratio: -5.51
- Beta: 1.02 (indicating moderate market volatility)
- Debt-to-Equity Ratio: 0.44
- Quick Ratio: 0.98
- Current Ratio: 1.33
💡 Intel’s Stock Struggles Amid Broader Challenges
Despite rising institutional investments, Intel’s stock price continues to face pressure due to:
- Tough competition from rivals like AMD and NVIDIA.
- Falling margins and earnings misses.
- Deteriorating investor confidence, reflected in widespread analyst downgrades.
