July 22 (Reuters) – Intel’s results on Thursday will show whether the American chip icon has the numbers to back a Wall Street rally that has \u200csent its shares nearly three times higher this year, as its turnaround \u200cpush wins over investors and the AI buildout powers demand. <\/p>\n
Analysts expect the company to report its fastest quarterly revenue \u200bgrowth in about six years thanks to a demand rebound for central processors that are increasingly used to help power AI agents. Investors are also eager for details on potential new customers for its contract manufacturing business, which has shown growing traction with deals including a \u200cTesla tie-up. <\/p>\n
\u2022 Among the biggest \u2060questions for Intel is a potential deal to manufacture processors for Apple that U.S. President Donald Trump announced in April but neither \u2060company has confirmed. <\/p>\n
\u2022 Winning a contract would boost both Intel’s foundry business and its reputation as a contract manufacturer. <\/p>\n
\u2022 Intel stock has declined more than 25% from its record close on \u200bJune 22, \u200bamid a broader selloff in chip stocks. It \u200bremains 185% higher for the year. <\/p>\n
\u2022 \u200cWhile AI has boosted demand for Intel’s CPUs, the company is grappling with weaker demand from the PC market and margins that remain well below historical highs. <\/p>\n
\u2022 “We admit to feeling better about the company than we have in some time as both the market and narrative grow more supportive, though fundamentals overall still remain somewhat on the challenging \u200cside,” Bernstein analysts said. <\/p>\n
\u2022 Last quarter, tight capacity \u200ballowed Intel to sell chips it had not expected \u200bto move, including shelved legacy and \u200blower-spec products. <\/p>\n
\u2022 The chipmaker is expected to report second-quarter revenue of $14.42 \u200cbillion, 12.1% higher from a year earlier, \u200bwith adjusted earnings of \u200b21 cents per share, according to data compiled by LSEG. <\/p>\n
\u2022 Its data center and AI segment is expected to grow 36.4% to $5.37 billion. <\/p>\n
\u2022 Adjusted gross profit \u200bmargin is expected to come \u200cin at 38.8%, which TD Cowen analysts have said remains pressured by \u200bheavy foundry investments and the costs of ramping new manufacturing processes. <\/p>\n
(Reporting by Anhata \u200bRooprai in Bengaluru; Editing by Devika Syamnath) <\/p>\n","protected":false},"excerpt":{"rendered":"July 22 (Reuters) – Intel’s results on Thursday will show whether the American chip icon has the numbers…\n","protected":false},"author":2,"featured_media":538570,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[365,363,364,6163,111,139,69,14887,145],"class_list":["post-538569","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-artificial-intelligence","tag-artificialintelligence","tag-intel","tag-new-zealand","tag-newzealand","tag-nz","tag-president-donald-trump","tag-technology"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/538569","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=538569"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/538569\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/538570"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=538569"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=538569"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=538569"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}