Intel (INTC) ended the recent trading session at $25.25, demonstrating a +1.94% change from the preceding day's closing price. The stock outperformed the S&P 500, which registered a daily loss of 0.13%. Elsewhere, the Dow saw a downswing of 0.27%, while the tech-heavy Nasdaq depreciated by 0.07%.
Shares of the world's largest chipmaker have appreciated by 4.69% over the course of the past month, underperforming the Computer and Technology sector's gain of 6.17%, and outperforming the S&P 500's gain of 2.71%.
The upcoming earnings release of Intel will be of great interest to investors. The company is forecasted to report an EPS of $0, showcasing a 100% upward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $13.12 billion, down 1.26% from the year-ago period.
INTC's full-year Zacks Consensus Estimates are calling for earnings of $0.15 per share and revenue of $52.2 billion. These results would represent year-over-year changes of +215.38% and -1.69%, respectively.
Any recent changes to analyst estimates for Intel should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Intel is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Intel is presently being traded at a Forward P/E ratio of 170.83. Its industry sports an average Forward P/E of 39.95, so one might conclude that Intel is trading at a premium comparatively.
One should further note that INTC currently holds a PEG ratio of 23.93. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Semiconductor - General stocks are, on average, holding a PEG ratio of 4.49 based on yesterday's closing prices.
The Semiconductor - General industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 46, which puts it in the top 19% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming 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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