Bank of America Downgrades Intel to Neutral Amid PC Slump and Foundry Delays
Bank of America has downgraded Intel (INTC) from 'Buy' to 'Neutral,' slashing its price target from $145 to $100. While Intel is seeing significant growth in its data center segment—with revenue jumping 78% to $7.3 billion in the third quarter—this strength is being offset by a sharp decline in PC shipments and supply chain headwinds. The downgrade follows a massive sell-off where Intel stock fell nearly 29%, marking its worst day since 1974. Analysts cite a projected 25% to 30% drop in PC shipments for the fourth quarter and rising memory costs as primary drags on the company's turnaround timeline. Furthermore, concerns remain regarding Intel's ability to compete with AMD and ARM-based rivals in the server market despite growing demand.
Topics: Bank of America downgrade Data center revenue Intel earnings report PC market slump Stock price volatility
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