I think Intel will come in with revenue of $13.9 Billion and EPS of about 65 cents.
Their Q1 revenue will be very close to $13.9 Billion, however, Intel will most likely guide alot lower to give them plenty of room to beat. So I think they will guide around $13.3 Billion, plus or minus $500 million. Gross margin guidance will stay near 65%.
Looks like I got the revenue right and the EPS pretty close if you look at GAAP.
I still think they guided alot lower than what they believe the could get for Q1. They have done this before after beating a revised earnings guidance as they did today.
They guided somewhat lower than what I thought they would, but I still think actual revenue for Q1 will be closer to $13.9 Billion rather than the estimates of $12.8 Billion. I certainly think that they will beat the high end of their guidance which is $13.3 Billion. This is classic Intel behavior of guidance low enough to blow well past future estimates. This will continue for the rest of 2012.
Gross Margin guidance of course makes JP Morgan analyst look like a fool.
Also happy that Intel is taking its share count down very aggressively. Buybacks in this manner will give its stock lots of support. Now I'm certain Intel will surpass the $30 mark in 2012. They have certainly set themselves up very well to do so.
Do u even know why they lowered guidance?
The revenue guidance was lowered due to shortage of Hard Disk drives manufactured in Thailand... It has nothing to do with Intel.... When the supply chain picks up from the flood damage, revenue will continue to be in-line
That was the lowest print in two years. There is no difference between 8.9% and 8.7% - it's within the statistical measurement error.
The simple point is that emerging markets are slowing down. Look - this is not me making things up out of thin air - Intel lowered Q4 guidance by 7%. Clearly business is slowing down. The only question is by how much.
Demand from Europe is definitely getting worse. Europe is going into a deep austerity-induced recession and nobody knows when they will come out of it.
As for emerging markets - China GDP growth is clearly slowing, slowing with India and Brazil.That cannot be denied. You may say that PC demand is unaffected, but that would be a tough sell.
I agree that INTC has surprised the markets on several occasions, particularly in Q4 2010 and Q1 2011, but I think expectations are high for this quarter. It's difficult to ignore the December warning, so a major beat like we had in Q1 2011 is unlikely. Revenues will probably come in the guided range ($13.4B to $14B), though EPS is a wildcard.
I think it would take something big to move the stock. Analysts are very negative on it and unless something changes, I'm not expecting much.