Yahoo Finance Intel (INTC) Registers a Bigger Fall Than the Market: Important Facts to Note
In the latest market close, Intel (INTC) reached $30.57, with a -1.67% movement compared to the previous day. The stock's performance was behind the S&P 500's daily loss of 0.31%. On the other hand, the Dow registered a gain of 0.67%, and the technology-centric Nasdaq decreased by 1.09%.
Shares of the world's largest chipmaker have appreciated by 1.2% over the course of the past month, underperforming the Computer and Technology sector's gain of 6.41% and the S&P 500's gain of 2.73%.
The investment community will be paying close attention to the earnings performance of Intel in its upcoming release. In that report, analysts expect Intel to post earnings of $0.10 per share. This would mark a year-over-year decline of 23.08%. Simultaneously, our latest consensus estimate expects the revenue to be $12.96 billion, showing a 0.09% escalation compared to the year-ago quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $1.05 per share and revenue of $55.69 billion. These totals would mark changes of 0% and +2.69%, respectively, from last year.
Investors should also pay attention to any latest changes in analyst estimates for Intel. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.82% higher. Intel presently features a Zacks Rank of #4 (Sell).
With respect to valuation, Intel is currently being traded at a Forward P/E ratio of 29.63. For comparison, its industry has an average Forward P/E of 28.27, which means Intel is trading at a premium to the group.
One should further note that INTC currently holds a PEG ratio of 1.24. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Semiconductor - General industry had an average PEG ratio of 2.55 as trading concluded yesterday.
The Semiconductor - General industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 96, positioning it in the top 39% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Intel Corporation (INTC) : Free Stock Analysis Report
