In the latest trading session, Intel (INTC) closed at $21.98, marking a -0.32% move from the previous day. The stock trailed the S&P 500, which registered a daily gain of 0.67%. Elsewhere, the Dow gained 0.56%, while the tech-heavy Nasdaq added 0.87%.
Shares of the world's largest chipmaker have appreciated by 3.38% over the course of the past month, outperforming the Computer and Technology sector's loss of 7.99% and the S&P 500's loss of 5.28%.
Analysts and investors alike will be keeping a close eye on the performance of Intel in its upcoming earnings disclosure. The company is expected to report EPS of $0, down 100% from the prior-year quarter. In the meantime, our current consensus estimate forecasts the revenue to be $12.28 billion, indicating a 3.51% decline compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates project earnings of $0.48 per share and a revenue of $53.36 billion, demonstrating changes of +469.23% and +0.48%, respectively, from the preceding year.
Any recent changes to analyst estimates for Intel should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Intel presently features a Zacks Rank of #4 (Sell).
In terms of valuation, Intel is presently being traded at a Forward P/E ratio of 46.06. This indicates a premium in contrast to its industry's Forward P/E of 25.7.
Also, we should mention that INTC has a PEG ratio of 2.71. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the Semiconductor - General industry was having an average PEG ratio of 1.84.
The Semiconductor - General industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 83, finds itself in the top 34% echelons of all 250+ industries.
The Zacks Industry Rank is ordered 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.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Intel Corporation (INTC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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