Intel Corp (NASDAQ:INTC) stock is powering the Nasdaq Composite (IXIC) today, up 21% to trade at $80.77 at last glance, after nabbing a record high of $85.22 right out of the gate. The chipmaker announced first-quarter earnings of 29 cents per share on $13.58 billion in revenue, both of which exceeded estimates. Intel also hiked its second-quarter guidance, prompting 10 price-target hikes and an upgrade from Evercore to "outperform" from "in-line."
The chip stock is overdue for upgrades, especially after this bull gap, which is poised to be its largest since 1987. Coming into today, 37 of the 44 analysts rated the stock a "hold" or worse. INTC took advantage of the bull flag formation on the charts, and is now 288.5% higher year-over-year.
Options are flying off the shelves. In the first hour of trading, 470,000 calls have changed hands, volume that's eight times the average intraday amount. The weekly 4/24 80-strike put is the most popular, while the 85-strike call in the same series is not far behind.
Today's sector response to the report has the VanEck Semiconductor ETF (SMH) up 3.8% and at record high levels, while the iShares Semiconductor ETF (SOXX) heads for an 18th-straight win.
Keep an eye on the entire sector's selative strength today. Intel's 14-Day Relative Strength Index (RSI) now sits at 81.7 while SMH and SOXX are up at 99.7 and 100, respectively.
