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Intel (INTC) Gains As Market Dips: What You Should Know

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In the latest trading session, Intel (INTC) closed at $37.93, marking a +0.42% move from the previous day. This move outpaced the S&P 500's daily loss of 0.38%. Elsewhere, the Dow lost 0.5%, while the tech-heavy Nasdaq lost 0.46%.

Prior to today's trading, shares of the world's largest chipmaker had lost 12.33% over the past month. This has lagged the Computer and Technology sector's loss of 8.38% and the S&P 500's loss of 6.69% in that time.

Intel will be looking to display strength as it nears its next earnings release. In that report, analysts expect Intel to post earnings of $0.70 per share. This would mark a year-over-year decline of 45.31%. Our most recent consensus estimate is calling for quarterly revenue of $17.98 billion, down 8.42% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $3.53 per share and revenue of $75.38 billion, which would represent changes of -35.47% and -3.4%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for Intel. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Intel is currently sporting a Zacks Rank of #3 (Hold).

Looking at its valuation, Intel is holding a Forward P/E ratio of 10.71. This valuation marks a no noticeable deviation compared to its industry's average Forward P/E of 10.71.

Investors should also note that INTC has a PEG ratio of 1.43 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Semiconductor - General was holding an average PEG ratio of 1.81 at yesterday's closing price.

The Semiconductor - General industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 173, putting it in the bottom 32% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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