New York – March 21, 2025 – Intel Corporation (NASDAQ: INTC) closed Friday’s trading session at $23.96, marking a 0.66% decline, underperforming the broader S&P 500, which slipped 0.22%. The Dow Jones Industrial Average dipped 0.03%, while the tech-heavy Nasdaq fell 0.33%, capping off a lackluster day for the markets.
📉 Recent Performance: Intel Outperforms the Sector
Despite the recent dip, Intel’s stock has outperformed its peers over the past month, falling 6.22%, compared to the Computer and Technology sector’s larger 12% decline and the S&P 500’s 7.48% loss.
📊 Earnings Expectations and Analyst Outlook
Investors are eyeing Intel’s upcoming earnings release, with the company projected to report $0 earnings per share (EPS), representing a 100% year-over-year decline. Revenue is expected to come in at $12.28 billion, down 3.51% from the same period last year.
For the full fiscal year, the Zacks Consensus Estimate forecasts:
- EPS of $0.48 (a +469.23% increase year-over-year)
- Revenue of $53.36 billion (+0.48% growth from the prior year)
🔍 Valuation and Analyst Sentiment
Intel’s current Forward P/E ratio of 50.38 signals a premium valuation compared to the industry average of 29.35. Additionally, its PEG ratio of 2.97 is higher than the industry average of 2, suggesting a relatively high price compared to its projected earnings growth.
The Zacks Rank system, which spans from #1 (Strong Buy) to #5 (Strong Sell), currently assigns Intel a #3 (Hold) rating. While Intel’s 25.95% downward revision in EPS estimates over the past month reflects analyst caution, the stock remains in neutral territory.
📈 Industry and Market Context
Intel operates within the Semiconductor – General industry, which holds a Zacks Industry Rank of 34, placing it in the top 14% of over 250 industries. Historically, the top 50% of industries have outperformed the bottom half by a factor of 2 to 1, making the sector an attractive space for investors despite recent volatility.
💡 Investor Takeaway
While Intel faces near-term earnings challenges, its longer-term growth projections and industry positioning remain key factors for investors. The upcoming earnings report will be pivotal in determining whether the stock can regain momentum or face further downside pressure.
