Street view: Intel turnaround faces fresh doubts after weak outlook
INTC•Intel forecast a weak quarter and warned of cash burn this year, sending its shares down about 25% in premarket trading. Analysts cited risks from a sluggish PC market, manufacturing issues, expansion spending and competition.
1. Analysts flag risks
Morgan Stanley said Intel is likely to lose share to fabless rivals, while TD Cowen said PC-market weakness and inventory correction could continue into 2027. Jefferies said client weakness may persist through at least the first half of 2027 and cited supply constraints and market-share losses.
2. Foundry plans in focus
Piper Sandler said Intel’s stock performance hinges on announcements about its 14A process node, which it expects in the first quarter of 2027. The article said Intel had surged about 150% this year before earnings, then fell about 23% in October as investor concerns grew over AI infrastructure spending.
