Intel stock falls after Q1 outlook disappoints

Intel (INTC) reported fourth quarter adjusted earnings of $0.15 per share versus an estimate of $0.09. However, it’s first quarter earnings and revenue outlook were shy of Wall Street estimates. Market Domination Overtime Anchor Josh Lipton reports the breaking details.

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00:00 Speaker A

Time now to dig into some earnings and take a look at Intel as its fourth quarter results are just hitting the wire right now.

00:06 Speaker A

Get you those reports. Q4 uh EPS uh I’m looking for 15 cents, that looks like a beat.

00:10 Speaker A

Q4 revenue 13.67 billion versus estimate of 13.43 billion. So that’s a beat.

00:15 Speaker A

Just looking through the segments quickly here. Data center and AI revenue for Q4, that looks like 4.74 billion versus an estimate of 4.42 billion.

00:22 Speaker A

So that looks like a beat.

00:24 Speaker A

See uh Client computing revenue, 8.19 billion versus an estimate of 8.3 billion. So that’s a bit light.

00:29 Speaker A

Importantly, uh turning to the forecast here, uh Q1 adjusted EPS, Q1 that looks like a miss versus a consensus.

00:36 Speaker A

and I’m just looking for Q1 revenue forecast. That’s 11.7 to 12.7 billion. The street was at 12.56 billion.

00:41 Speaker A

So initially, you’re off that print, you’re down a quick 5%.

00:45 Speaker A

Of course, remember the stock had been a a rocket ship heading into this report. It was up more than 40% this year to date. It was up around 150% uh over the past 12 months heading into the print.

00:54 Speaker A

So sentiment was was positive.

00:57 Speaker A

Analysts I know were were talking about reasons for the move here into the print.

01:01 Speaker A

They would talk about that 18A manufacturing process.

01:04 Speaker A

They were talking about hopes for the foundry business, that chip manufacturing arm. They would point out the favor of the Trump administration toward Intel, that doesn’t hurt.

01:11 Speaker A

Uh looking ahead beyond the print, I think you’re going to have a lot of questions about expectations for the PC shipments this year, expectations for the server market.

01:18 Speaker A

Any more color we might may get about uh 18A yields and that foundry business.

01:22 Speaker A

I know some of the street wondering where they they may have to move up their CAPEX plans.

01:26 Speaker A

But initially here, off what looks to be some weak guidance, we see the stock down about 4% in the after hours.