0R15 9025.0 0.0% 0R1E 9410.0 0.0% 0M69 None None% 0R2V 247.99 9682.643% 0QYR 1567.5 0.0% 0QYP 439.3701 -2.9016% 0RUK None None% 0RYA 1597.0 1.2682% 0RIH 195.55 0.0% 0RIH 191.4 -2.1222% 0R1O 225.5 9683.0803% 0R1O None None% 0QFP 10475.8496 107.8542% 0M2Z 252.573 0.2373% 0VSO 33.0 -7.3164% 0R1I None None% 0QZI 622.0 0.0% 0QZ0 220.0 0.0% 0NZF None None% 0YXG 222.05 -4.1318%
Intel Corporation
Company Overview: Intel Corporation (NASDAQ: INTC) is a leading technology company specialising in microprocessor design and production for the global personal computer and data centre sectors. The Data Centre Group (DCG), Internet of Things Group (IOTG), Mobileye, Non-Volatile Memory Solution Group (NSG), Programmable Solutions Group (PSG), Client Computer Group (CCG), and other associated divisions are among the company's revenue streams. Accelerators, boards and systems, connection devices, memory and storage products, and platform goods such as central processing units and chipsets, system-on-a-chip and multichip packages are all available.
INTC Details
Key Takeaways from FY21 (ended December 25, 2021)
Revenues & Gross Profit Key Highlights; Analysis by Kalkine Group
Recent Developments
Steady Dividends
Consistent Dividends (Data Source: REFINITIV)
Balance Sheet & Liquidity Position
Key Metrics: INTC's gross and net margins in FY21 were 55.4 % and 25.1%, respectively, versus 52.0% and 10.4% for the industry median. Its Debt/Equity ratio has also been improved to 0.40x as of December 25, 2021, from 0.45x as of December 26, 2020.
Profitability and Leverage Profile; Analysis by Kalkine Group
Top 10 Shareholders: The top 10 shareholders together form around 27.40% of the total shareholding, while the top 4 constitute the maximum holding. The Vanguard Group, Inc. and the BlackRock Institutional Trust Co., N.A. hold the maximum stake in the company at 8.46% and 5.48%, respectively, as also highlighted in the chart below:
Top 10 Shareholders; Analysis by Kalkine Group
Risk Analysis
Outlook
Valuation Methodology: Price/Earnings Per Share Multiple Based Relative Valuation (Illustrative)
Source: Analysis by Kalkine Group
*% Premium/(Discount) is based on our assessment of the company's FY1 trading multiple after considering its key growth drivers, economic moat, stock's historical trading multiples versus peer average/median, and investment risks.
Stock Recommendation: INTC has corrected ~14.56% in the past month. The stock is currently leaning towards the lower band of its 52-week range of USD 46.30 to USD 68.49. We have valued the stock using the Price/Earnings-based illustrative relative valuation method and arrived at a target price with an upside of low twenties (in percentage terms). We believe that the company can trade at a premium compared to its peer's average, considering its market dominance in the semiconductor chip space, robust profitability margins, rising dividend yield, and global market presence. We have taken peers like Qualcomm, Inc. (NASDAQ: QCOM), Texas Instruments, Inc. (NASDAQ: TXN), and others. Considering the robust cash flows, proven track record, encouraging outlook, underutilised capital expenditure, associated risks, and current valuation, we give a "Buy" recommendation on the stock at the current price of USD 47.60, down ~0.05%, as of February 14, 2022, 10:04 AM ET.
INTC Technical Chart, Data Source: REFINITIV
Note 1: The reference data in this report has been partly sourced from REFINITIV.
Note 2: Investment decision should be made depending on the investors' appetite for upside potential, risks, holding duration, and any previous holdings. Investors can consider exiting from the stock if the Target Price mentioned as per the valuation has been achieved and subject to the factors discussed above.
Technical Indicators Defined
Support: A level where-in the stock prices tend to find support if they are falling, and downtrend may take a pause backed by demand or buying interest.
Resistance: A level where-in the stock prices tend to find resistance when they are rising, and the uptrend may take a pause due to profit booking or selling interest.
Stop-loss: It is a level to protect further losses in case of unfavorable movement in the stock prices.
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