Street Calls of the Week
Investing.com - Baird raised its price target on Intel (NASDAQ:INTC) to $40.00 from $20.00 on Friday, while maintaining a Neutral rating on the semiconductor company’s stock. The chipmaker’s shares, currently trading at $38.16, have surged 72% over the past six months and are approaching their 52-week high of $39.65. According to InvestingPro analysis, Intel appears to be trading above its Fair Value.
The investment firm cited promising early performance and yields on Intel’s 14A process technology as key factors behind the significant price target increase.
Baird noted that Intel management has expressed increased confidence in customer engagement with the 14A process, which represents what the firm calls "the largest potential breakthrough for Intel for 2026."
The ongoing push for U.S.-based production of critical semiconductor components remains a favorable high-level tailwind for Intel, according to the research note.
Despite the positive developments with 14A, Baird maintained its Neutral rating, pointing out that Intel’s gross margin will remain subdued as cost structure improvement remains a multi-year process and data center CPU competitiveness is still a work in progress. While currently unprofitable with a -$4.73 EPS, analysts tracked by InvestingPro expect Intel to return to profitability in 2025. Get the full analysis with InvestingPro’s comprehensive research report, part of their coverage of 1,400+ US stocks.
In other recent news, Intel Corporation reported its third-quarter 2025 earnings, surpassing both revenue and earnings per share expectations. The company’s earnings per share came in at $0.23, significantly higher than the forecasted $0.01, with revenue reaching $13.7 billion, exceeding the anticipated $13.13 billion. Mizuho responded to these strong results by raising its price target on Intel to $41.00 from $39.00, while maintaining a Neutral rating. The firm noted that Intel’s 18A process technology yields are progressing as planned.
Stifel maintained its Hold rating and $35.00 price target on Intel after the company’s third-quarter performance. The results showed a stronger-than-expected outcome across revenue, margin, and adjusted earnings per share, benefiting from lower inventory write-downs and favorable product mix. Erste Group raised its price target on Intel to $41.10 from $23.00, citing improvements such as a $15 billion sequential improvement in net debt position. This included $4.3 billion in debt reduction and contributions from the U.S. government, SoftBank, and sales of Altera and Mobileye stakes. These developments highlight Intel’s ongoing financial and operational progress.
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