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Highlights

  • Intel posted a 9% surge in revenue and an 86% surge in net income in Q1 2024, compared to pcp
  • Intel declared a quarterly dividend of US$ 0.125 per share on its common stock
  • In the second quarter of 2024, Intel is expecting revenue in the range of US$ 12.5-13.5 billion on a GAAP basis

Intel Corporation (NASDAQ: INTC) specialises in designing, developing, manufacturing, marketing, and selling computing and related products and services on a global basis.

In the first quarter of 2024, Intel’s total revenue surged by 9% to US$12.7 billion, compared to the prior corresponding period. The surge in revenue was backed by a stable demand for the company’s products and services. The company also demonstrated improved profitability as gross margin expanded to 41.0% on a GAAP basis and 45.1% on a non-GAAP basis, indicating a considerable increment of 6.8 and 6.7 percentage points, respectively. Moreover, the company’s net income for the quarter was US$ 0.8 billion, marking an 86% upturn from the previous year. This led to a notable boost in earnings per share to US$ 0.18, indicating enhanced profitability.

Intel declared a quarterly dividend of US$ 0.125 per share on its common stock.

Recent business update

In May 2024, Intel marked a significant milestone in the AI PC processor market, exceeding 500 AI models optimised for the new Intel® Core™ Ultra processors. In April, Intel announced the world’s largest neuromorphic system, Hala Point. It is powered by the cutting-edge Loihi 2 processor, customised to drive brain-inspired AI research while tackling the efficiency challenges prevalent in current AI frameworks.

Company outlook

Intel's guidance for the second quarter of 2024 includes:

  • Revenue estimates in the range of US$ 12.5-13.5 billion on a GAAP basis
  • Gross margin of 40.2% (43.5% on a non-GAAP basis)
  • The company expects a tax rate of 61% for GAAP earnings and 13% for non-GAAP earnings, with a diluted EPS of US$0.05 and US$0.10, respectively.

Top 10 shareholders

The top 10 shareholders collectively hold around 30.30% of Intel’s total shares. The Vanguard Group, Inc. holds maximum stake in the company at around 9.02% followed by the BlackRock Institutional Trust Company, N.A., which holds around 5.19%.

Stock performance

Over the last three months, the stock price of Intel has declined by approximately 27.59%, while over the past nine months, it has surged by about 12.09%. Additionally, it is currently trading near the lower band of its 52-week high of US$ 51.28 and 52-week low price of US$ 26.86.

 

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels is May 06, 2024. The reference data in this report has been partly sourced from EODHD/Others.