Intel (NASDAQ:INTC) Stock Price Down 9.5% on Analyst Downgrade

Shares of Intel Co. (NASDAQ:INTC) dropped 9.5% on Friday after Wells Fargo & Company lowered their price target on the stock from $43.00 to $38.00. Wells Fargo & Company currently has an equal weight rating on the stock. Intel traded as low as $30.64 and last traded at $31.77. Approximately 54,956,286 shares changed hands during mid-day trading, an increase of 16% from the average daily volume of 47,271,449 shares. The stock had previously closed at $35.11.

A number of other brokerages have also recently weighed in on INTC. Evercore ISI dropped their price target on Intel from $40.00 to $36.00 and set an “in-line” rating for the company in a research report on Friday. Bank of America dropped their price objective on Intel from $50.00 to $44.00 and set a “neutral” rating for the company in a research report on Friday, April 12th. Mizuho dropped their price objective on Intel from $55.00 to $45.00 and set a “buy” rating for the company in a research report on Friday. Needham & Company LLC reiterated a “hold” rating on shares of Intel in a research report on Friday. Finally, Sanford C. Bernstein dropped their price objective on Intel from $42.00 to $35.00 and set a “market perform” rating for the company in a research report on Friday. Four investment analysts have rated the stock with a sell rating, twenty-one have assigned a hold rating and five have assigned a buy rating to the stock. According to data from MarketBeat.com, Intel currently has a consensus rating of “Hold” and a consensus price target of $39.75.

Insider Activity

In related news, CEO Patrick P. Gelsinger acquired 2,800 shares of Intel stock in a transaction that occurred on Thursday, February 1st. The stock was acquired at an average price of $42.74 per share, for a total transaction of $119,672.00. Following the transaction, the chief executive officer now directly owns 31,275 shares of the company’s stock, valued at approximately $1,336,693.50. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. In related news, CEO Patrick P. Gelsinger acquired 3,000 shares of Intel stock in a transaction that occurred on Monday, January 29th. The stock was acquired at an average price of $43.36 per share, for a total transaction of $130,080.00. Following the transaction, the chief executive officer now directly owns 28,475 shares of the company’s stock, valued at approximately $1,234,676. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, CEO Patrick P. Gelsinger purchased 2,800 shares of Intel stock in a transaction on Thursday, February 1st. The shares were acquired at an average price of $42.74 per share, with a total value of $119,672.00. Following the transaction, the chief executive officer now directly owns 31,275 shares in the company, valued at approximately $1,336,693.50. The disclosure for this purchase can be found here. Company insiders own 0.04% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in the business. Vanguard Group Inc. boosted its position in Intel by 1.2% during the 4th quarter. Vanguard Group Inc. now owns 385,787,907 shares of the chip maker’s stock worth $19,385,842,000 after acquiring an additional 4,678,169 shares during the period. Capital International Investors boosted its position in Intel by 0.3% during the 4th quarter. Capital International Investors now owns 96,617,951 shares of the chip maker’s stock worth $4,855,099,000 after acquiring an additional 318,495 shares during the period. Primecap Management Co. CA boosted its position in Intel by 0.6% during the 4th quarter. Primecap Management Co. CA now owns 75,237,927 shares of the chip maker’s stock worth $3,780,706,000 after acquiring an additional 475,636 shares during the period. Norges Bank acquired a new stake in shares of Intel in the fourth quarter valued at $2,424,202,000. Finally, Northern Trust Corp lifted its holdings in shares of Intel by 3.7% in the third quarter. Northern Trust Corp now owns 46,003,776 shares of the chip maker’s stock valued at $1,635,434,000 after buying an additional 1,626,127 shares during the period. Institutional investors and hedge funds own 64.53% of the company’s stock.

Intel Stock Performance

The company has a debt-to-equity ratio of 0.43, a current ratio of 1.54 and a quick ratio of 1.15. The firm has a market cap of $134.79 billion, a price-to-earnings ratio of 33.21, a price-to-earnings-growth ratio of 3.19 and a beta of 1.00. The company has a fifty day moving average price of $40.88 and a two-hundred day moving average price of $42.27.

Intel (NASDAQ:INTC) last announced its quarterly earnings data on Thursday, January 25th. The chip maker reported $0.54 earnings per share for the quarter, beating the consensus estimate of $0.27 by $0.27. The business had revenue of $15.40 billion during the quarter, compared to analyst estimates of $15.16 billion. Intel had a return on equity of 2.22% and a net margin of 7.36%. The company’s revenue was up 9.7% on a year-over-year basis. During the same quarter in the prior year, the firm posted $0.10 earnings per share. As a group, equities research analysts expect that Intel Co. will post 0.6 EPS for the current year.

Intel Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Saturday, June 1st. Stockholders of record on Tuesday, May 7th will be issued a $0.125 dividend. The ex-dividend date is Monday, May 6th. This represents a $0.50 annualized dividend and a dividend yield of 1.57%. Intel’s dividend payout ratio (DPR) is 52.08%.

About Intel

Intel Corporation designs, develops, manufactures, markets, and sells computing and related products and services worldwide. It operates through Client Computing Group, Data Center and AI, Network and Edge, Mobileye, and Intel Foundry Services segments. The company's products portfolio comprises central processing units and chipsets, system-on-chips (SoCs), and multichip packages; mobile and desktop processors; hardware products comprising graphics processing units (GPUs), domain-specific accelerators, and field programmable gate arrays (FPGAs); and memory and storage, connectivity and networking, and other semiconductor products.