Intel (INTC) Gains As Market Dips: What You Should Know

In the latest trading session, Intel (INTC) closed at $48.07, marking a +0.29% move from the previous day. This move outpaced the S&P 500's daily loss of 0.79%. At the same time, the Dow lost 0.53%, and the tech-heavy Nasdaq lost 0.48%.

Coming into today, shares of the world's largest chipmaker had lost 0.72% in the past month. In that same time, the Computer and Technology sector lost 4.07%, while the S&P 500 lost 2.43%.

Investors will be hoping for strength from Intel as it approaches its next earnings release. In that report, analysts expect Intel to post earnings of $0.79 per share. This would mark a year-over-year decline of 43.17%. Our most recent consensus estimate is calling for quarterly revenue of $18.32 billion, down 6.88% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $3.48 per share and revenue of $75.49 billion, which would represent changes of -36.38% and -3.25%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for Intel. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.79% lower. Intel is holding a Zacks Rank of #3 (Hold) right now.

In terms of valuation, Intel is currently trading at a Forward P/E ratio of 13.76. Its industry sports an average Forward P/E of 15.03, so we one might conclude that Intel is trading at a discount comparatively.

Investors should also note that INTC has a PEG ratio of 1.83 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Semiconductor - General industry currently had an average PEG ratio of 2.26 as of yesterday's close.

The Semiconductor - General industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 40, which puts it in the top 16% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.