Personal computer microprocessor giant Intel Corporation (NASDAQ: INTC) stock saw a significant drop in the past couple of years. The consecutive drop in Intel’s revenue and soaring losses made impacts on the INTC stock price. Though the company intends to explore opportunities and diversify its portfolio in the coming years, the immediate circumstances hold the growth in stock price.
The earnings report of Intel Corporation for the first quarter of 2023 beat estimates on several fronts but took significant beatings on crucial ends. The earnings per share (EPS) for INTC stock price dropped by a staggering 133% in a year. While the company’s revenue saw a fall from $18.4 Billion to $11.7 Billion, a straight 36% downfall was seen in the year over year timeframe.
The growing competition in the space from Advanced Micro Devices, Inc. (NASDAQ: AMD) is also often seen as a threat to Intel’s business. Though AMD ventured rapidly in central processing unit (CPU) personal computers and data centers sector, Intel maintained its lead in terms of market share.
In the earnings report, Intel reported a positive outlook for the future performance and INTC stock growth. The company stated to look at $12 Billion in revenue for Q2 2023 with the losses to stall around 4 cents per share.
Intel is reported to venture into new landscapes: foundry operations and artificial intelligence (AI).
The company announced $20 Billion for the construction of two chip manufacturing plants in Ohio. Recently, it announced plans to set up a plant in Germany worth $33 Billion. Intel is also looking to acquire Israeli semiconductor foundry Tower Semiconductor.
In addition, the venture of Intel in the artificial intelligence (AI) space is also likely to get done with the launch of Falcon Shores. The semi-processor manufacturer is expected to launch its AI-focused chup by 2025.
Currently, NVIDIA Corp (NASDAQ: NVDA) has the lion’s share in the domain with the company manufacturing about 95% of all the existing AI graphic processing units.
Intel Corporation (NASDAQ: INTC) Stock Price Movement
Intel stock price has seen a base formation amid a $24.5 to $31 price range. Though there were several efforts to break the range, it continued consolidating from November 2022 till June 2023. The stock price jumped out of the range and attained $37 which acted as a strong hurdle.
Currently, the INTC stock price falls back to the $32 price range after the sharp rejection from $37. The potential golden crossover of 50- and 200-day EMA shows the possibility of a price surge; however, it seems unlikely given the sharp decline of price. If the stock price, after testing $32, bounces back towards $37, then it could be assumed a breakout after consolidation.
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Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing
Source: https://www.thecoinrepublic.com/2023/07/07/can-intel-corporation-nasdaq-intc-stock-price-cross-37/