Yahoo Finance Intel (INTC) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Intel (INTC) closed at $62.93, marking a +1.99% move from the previous day. This move outpaced the S&P 500's daily gain of 0.48%. Meanwhile, the Dow lost 0.07%, and the Nasdaq, a tech-heavy index, added 1.29%.
INTC will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.10, up 3.77% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $18.51 billion, up 12.17% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.81 per share and revenue of $73.85 billion. These totals would mark changes of -1.23% and +2.62%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for INTC. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. Over the past month, the Zacks Consensus EPS estimate has moved 0.22% lower. INTC is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that INTC has a Forward P/E ratio of 12.84 right now. Its industry sports an average Forward P/E of 33.54, so we one might conclude that INTC is trading at a discount comparatively.
It is also worth noting that INTC currently has a PEG ratio of 1.71. 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. INTC's industry had an average PEG ratio of 2.84 as of yesterday's close.
The Semiconductor - General industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 28, putting it in the top 12% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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