Wall Street analysts are optimistic about Intel's upcoming quarterly earnings report, projecting a substantial year-over-year increase in both earnings and revenues. It is crucial for investors to consider any revisions made to earnings projections before a company's earnings release, as these revisions provide a key indicator of potential investor reactions to the stock's performance. Studies consistently demonstrate a strong correlation between trends in earnings estimate revisions and short-term price movements of a stock.
While consensus earnings and revenue estimates are commonly used by investors to gauge quarterly business performance, delving into analysts' forecasts for specific key metrics can offer valuable insights into a company's potential performance. Analysts have provided estimates for various key metrics within Intel, such as 'Net Revenues- Data Center and AI', 'Net Revenues- Client Computing Group', 'Net Revenues- Network and Edge', 'Net Revenues- Mobileye', 'Net Revenues- Client Computing- Notebook', and 'Net Revenues- Intel Foundry Services'.
The predictions for these specific metrics offer varied outlooks, with some expecting declines in certain areas like 'Net Revenues- Network and Edge', while others anticipate significant increases like 'Net Revenues- Intel Foundry Services'. Understanding these forecasts can help investors make more informed decisions based on the projected performance of different segments within Intel. Despite recent returns showing a decline in Intel shares compared to the Zacks S&P 500 composite, the company's Zacks Rank #3 (Hold) suggests a performance that may align with the overall market in the near future.