Intel Stock To $60?

Published: Wednesday, August 20, 2025 at 12:33 pm

Intel Stock: Can It Reach $60?

Intel's stock experienced a significant surge, jumping nearly 7% on Tuesday, fueled by reports of potential government investment and a substantial investment from SoftBank. This has sparked speculation about a potential rally, with some analysts suggesting the stock could reach $60 per share.

The company's recent financial performance has been mixed. Revenue declined from $79 billion in 2021 to $53 billion in 2024, primarily due to a cooling PC market and increased competition from AMD. However, the PC market is showing signs of recovery, and Intel is working on a turnaround plan.

A key factor in Intel's potential resurgence is its domestic manufacturing capacity. With the U.S. government prioritizing semiconductor self-sufficiency, Intel's existing U.S. fabs could be a significant advantage. The company is also investing in new technologies, with its 18A process aiming to offer higher performance and lower power consumption. Intel's new Arrow Lake-based Core Ultra 9 chip outperforms AMD's competing processor in CPU benchmarks.

Intel's adjusted net margins have declined, falling from around 29% in 2021 to negative levels in 2024. However, the company is implementing cost-cutting measures, including reducing operating expenses and laying off employees. Additionally, improved manufacturing utilization and more competitive CPU products could boost margins.

If Intel can achieve a revenue rebound, with sales growing by about 7% annually between 2025 and 2028, and margins recover to about 20% by 2028, adjusted net income could grow to almost $13 billion. This could lead to a more favorable assessment of Intel's recovery path, potentially driving the stock price toward $60 per share by the end of 2028.

BNN's Perspective: While Intel faces significant challenges, including competition and manufacturing hurdles, the potential for government support and a recovering PC market presents a compelling case for a turnaround. However, investors should be prepared for a potentially lengthy recovery period.

Keywords: Intel, stock, NASDAQ, INTC, Trump administration, SoftBank, CHIPS Act, revenue, margins, valuation, AMD, TSMC, Nvidia, semiconductors, manufacturing, CPU, AI, Gaudi, Arrow Lake, PC market, foundry, earnings, investment.

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