No products in the cart.

Intel Plunges 10 percent on Q1 Revenue Miss & Weak Outlook

Intel Corporation (NASDAQ:INTC) shares dropped more than 10% intra-day today after the company reported mixed results for the first quarter and issued weaker-than-expected guidance for the upcoming quarter, fueling concerns that it may lag behind its competitors in the burgeoning AI chip market.
The company’s guidance for the second quarter anticipates adjusted earnings of $0.10 per share and revenue ranging from $12.5 billion to $13.5 billion. This projection falls short of analyst expectations, which anticipated adjusted earnings per share of $0.26 and revenue of $13.66 billion.
Adding to the challenges, Intel noted that losses in its chipmaking division, Intel Foundry, expanded to $7 billion this year, up from $5.2 billion in 2023. This has raised further concerns about Intel’s competitive position in the AI sector.
For the quarter ending March 30, Intel posted adjusted earnings of $0.18 per share on revenue of $12.72 billion. This was a mixed result as it surpassed earnings estimates of $0.15 per share but fell short of the expected revenue of $12.88 billion.
Despite the current hurdles, Intel remains optimistic about its performance for the fiscal year 2024, forecasting year-over-year revenue and non-GAAP EPS growth, along with a gross margin improvement of approximately 200 basis points.

Subscribe to get Latest News

Latest Articles

More like this