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Intel (INTC) Gains But Lags Market: What You Should Know
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Intel (INTC - Free Report) closed the most recent trading day at $51.69, moving +1.33% from the previous trading session. This change lagged the S&P 500's 1.8% gain on the day. At the same time, the Dow added 1.68%, and the tech-heavy Nasdaq gained 2.33%.
Heading into today, shares of the world's largest chipmaker had gained 1.23% over the past month, outpacing the Computer and Technology sector's loss of 9.14% and the S&P 500's loss of 6.31% in that time.
Investors will be hoping for strength from INTC as it approaches its next earnings release, which is expected to be October 22, 2020. On that day, INTC is projected to report earnings of $1.10 per share, which would represent a year-over-year decline of 22.54%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $18.21 billion, down 5.13% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.86 per share and revenue of $75.09 billion, which would represent changes of -0.21% and +4.34%, respectively, from the prior year.
Any recent changes to analyst estimates for INTC should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.13% higher. INTC is currently a Zacks Rank #3 (Hold).
Looking at its valuation, INTC is holding a Forward P/E ratio of 10.5. This valuation marks a discount compared to its industry's average Forward P/E of 27.92.
It is also worth noting that INTC currently has a PEG ratio of 1.4. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Semiconductor - General was holding an average PEG ratio of 2.93 at yesterday's closing price.
The Semiconductor - General industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 244, which puts it in the bottom 4% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow INTC in the coming trading sessions, be sure to utilize Zacks.com.
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Intel (INTC) Gains But Lags Market: What You Should Know
Intel (INTC - Free Report) closed the most recent trading day at $51.69, moving +1.33% from the previous trading session. This change lagged the S&P 500's 1.8% gain on the day. At the same time, the Dow added 1.68%, and the tech-heavy Nasdaq gained 2.33%.
Heading into today, shares of the world's largest chipmaker had gained 1.23% over the past month, outpacing the Computer and Technology sector's loss of 9.14% and the S&P 500's loss of 6.31% in that time.
Investors will be hoping for strength from INTC as it approaches its next earnings release, which is expected to be October 22, 2020. On that day, INTC is projected to report earnings of $1.10 per share, which would represent a year-over-year decline of 22.54%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $18.21 billion, down 5.13% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.86 per share and revenue of $75.09 billion, which would represent changes of -0.21% and +4.34%, respectively, from the prior year.
Any recent changes to analyst estimates for INTC should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.13% higher. INTC is currently a Zacks Rank #3 (Hold).
Looking at its valuation, INTC is holding a Forward P/E ratio of 10.5. This valuation marks a discount compared to its industry's average Forward P/E of 27.92.
It is also worth noting that INTC currently has a PEG ratio of 1.4. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Semiconductor - General was holding an average PEG ratio of 2.93 at yesterday's closing price.
The Semiconductor - General industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 244, which puts it in the bottom 4% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow INTC in the coming trading sessions, be sure to utilize Zacks.com.