Intel Stock Rises After JP Morgan Analyst Upgrades Rating
On Monday morning, Intel (INTC) stock rose by nearly 4.6% after JP Morgan analyst Harlan Sur upgraded the company's rating from 'underweight' to 'neutral,' effectively shifting it from a sell recommendation to hold. The upgrade came as Intel’s shares have fallen significantly in recent months — down 36% since June and over 21% since October, nearing Sur's $85 price target. Sur highlighted challenges for Intel, including declining market share in server CPUs (from 77% to 53%) and PC CPUs (down from 81% to 68%), as well as weak performance in its foundry business compared to TSMC. However, he noted progress under new CEO Lip Bu Tan in improving CPU manufacturing for AI data centers. Looking ahead, Sur anticipates a potential turnaround driven by demand for AI chips and improved profitability expected next year, which could make Intel stock more attractive despite ongoing risks.