Intel to beat guidance on increased notebook shipments: Citi
JasonDoiy/iStock Unreleased via Getty Images
Intel Corp (NASDAQ:INTC) should beat guidance thanks to an increase in notebook shipments, Citi said.
The firm maintained its Neutral rating on the stock. Shares are up 3% on Tuesday.
August notebook shipments were up 8% from July, above expectations, while Citi raised its outlook for shipments in the third quarter to up 3% from the previous period compared from 2%.
âWe believe the strength in notebook shipments, coupled with better-than-feared data center results, should enable Intel to beat guidance,â Citi analysts led by Christopher Danely wrote in a note.
The bank also maintained its Buy rating on Advanced Micro Devices (AMD).
Notebook shipments represent about 30% of INTC revenue. The company previously said it was trending above the midpoint of its third quarter guidance of $13.4 billion (up 3.5% QoQ), driven by the data center segment.
Sub-seasonal ODM outlook in 3Q23E; visibility for 4Q23E remains limited. While inventory normalized in 2Q23, ODMs provided a conservative outlook in 3Q23E due to the lack of clear signs of sustainable demand recovery. As such, visibility for 4Q23E remains limited.
Shares of INTC are up 62% year-to-date.

More on Intel

Seeking Alphaâs Quant Rating on Intel
Historical earnings data for Intel
Dividend scorecard for Intel
Financial information for Intel
Intel: Pivotal Role In The 3D Chip Revolution
Intel: Too Much Euphoria On A Foundry Prepayment
Intel: Fallacies That An Incumbent Can't Bridge The Gap Fast
Intel: Don't Let The 'Whale' Fool You
Intel to sell ~10% stake in IMS nanofabrication unit to Taiwan Semiconductor
Global semiconductor sales fell near 12% in July
Intel likely to manufacture Arm chips, analyst says
Qualcomm leads chips lower amid iPhone China worries