NasdaqGS:INTC

Stock Analysis Report

Executive Summary

Intel Corporation provides computing, networking, data storage, and communication solutions worldwide.

Rewards

PE ratio (14.1x) is below the US market (18.3x)

Earnings grew by 0.3% over the past year

Pays a high and reliable dividend of 1.88%

Risk Analysis

Earnings are forecast to decline by an average of -0.5% per year for the next 3 years



Snowflake Analysis

Established dividend payer with proven track record.


Similar Companies

Share Price & News

How has Intel's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: INTC has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-2.7%

INTC

0.7%

US Semiconductor

0.06%

US Market


1 Year Return

24.7%

INTC

40.4%

US Semiconductor

19.3%

US Market

Return vs Industry: INTC underperformed the US Semiconductor industry which returned 43.5% over the past year.

Return vs Market: INTC exceeded the US Market which returned 20.3% over the past year.


Shareholder returns

INTCIndustryMarket
7 Day-2.7%0.7%0.06%
30 Day4.3%3.2%1.7%
90 Day13.6%16.7%9.0%
1 Year27.6%24.7%43.1%40.4%21.8%19.3%
3 Year93.2%79.2%96.2%85.6%49.5%39.9%
5 Year125.8%96.8%157.0%132.4%73.1%54.1%

Price Volatility Vs. Market

How volatile is Intel's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Intel undervalued compared to its fair value and its price relative to the market?

13.73x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: INTC ($67.11) is trading above our estimate of fair value ($47.85)

Significantly Below Fair Value: INTC is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: INTC is good value based on its PE Ratio (14.1x) compared to the Semiconductor industry average (37.7x).

PE vs Market: INTC is good value based on its PE Ratio (14.1x) compared to the US market (18.3x).


Price to Earnings Growth Ratio

PEG Ratio: INTC's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: INTC is overvalued based on its PB Ratio (3.7x) compared to the US Semiconductor industry average (3.2x).


Next Steps

Future Growth

How is Intel forecast to perform in the next 1 to 3 years based on estimates from 39 analysts?

-0.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: INTC's earnings are forecast to decline over the next 3 years (-0.5% per year).

Earnings vs Market: INTC's earnings are forecast to decline over the next 3 years (-0.5% per year).

High Growth Earnings: INTC's earnings are forecast to decline over the next 3 years.

Revenue vs Market: INTC's revenue (2.7% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: INTC's revenue (2.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: INTC's Return on Equity is forecast to be high in 3 years time (26.4%)


Next Steps

Past Performance

How has Intel performed over the past 5 years?

14.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: INTC has high quality earnings.

Growing Profit Margin: INTC's current net profit margins (29.2%) are lower than last year (29.6%).


Past Earnings Growth Analysis

Earnings Trend: INTC's earnings have grown by 14.4% per year over the past 5 years.

Accelerating Growth: INTC's earnings growth over the past year (0.3%) is below its 5-year average (14.4% per year).

Earnings vs Industry: INTC earnings growth over the past year (0.3%) exceeded the Semiconductor industry -28%.


Return on Equity

High ROE: INTC's Return on Equity (27.2%) is considered high.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Intel's financial position?


Financial Position Analysis

Short Term Liabilities: INTC's short term assets ($31.2B) exceed its short term liabilities ($22.3B).

Long Term Liabilities: INTC's short term assets ($31.2B) do not cover its long term liabilities ($36.7B).


Debt to Equity History and Analysis

Debt Level: INTC's debt to equity ratio (37.4%) is considered satisfactory.

Reducing Debt: INTC's debt to equity ratio has increased from 24.5% to 37.4% over the past 5 years.

Debt Coverage: INTC's debt is well covered by operating cash flow (114.3%).

Interest Coverage: INTC earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: INTC has a high level of physical assets or inventory.

Debt Coverage by Assets: INTC's debt is covered by short term assets (assets are 1.1x debt).


Next Steps

Dividend

What is Intel's current dividend yield, its reliability and sustainability?

1.93%

Current Dividend Yield


Dividend Yield vs Market

company1.9%marketbottom25%1.4%markettop25%3.7%industryaverage1.9%forecastin3Years2.1%

Current dividend yield vs market & industry

Notable Dividend: INTC's dividend (1.88%) is higher than the bottom 25% of dividend payers in the US market (1.44%).

High Dividend: INTC's dividend (1.88%) is low compared to the top 25% of dividend payers in the US market (3.73%).


Stability and Growth of Payments

Stable Dividend: INTC's dividends per share have been stable in the past 10 years.

Growing Dividend: INTC's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (26.4%), INTC's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: INTC's dividends in 3 years are forecast to be well covered by earnings (26% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.2yrs

Average management tenure


CEO

Bob Swan (59yo)

1.7yrs

Tenure

US$16,706,700

Compensation

Mr. Robert H. Swan, also known as Bob, serves as the Chief Executive Officer and Director at Intel Corporation since January 31, 2019. He was Chief Financial Officer and Executive Vice President of Intel C ...


CEO Compensation Analysis

Compensation vs Market: Bob's total compensation ($USD16.71M) is above average for companies of similar size in the US market ($USD10.78M).

Compensation vs Earnings: Bob's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Robert Swan
CEO & Director1.7yrsUS$16.71m0.0054% $15.3m
Steven Rodgers
Executive VP & General Counsel0yrsUS$16.21m0.0021% $5.8m
Navin Shenoy
Executive VP & GM of Data Platforms Group5yrsUS$10.37m0.0013% $3.5m
Venkata S. Renduchintala
Exec. VP4.3yrsUS$13.13m0.0022% $6.2m
George Davis
Executive VP & CFO0.8yrsno data0.00076% $2.1m
Ann Kelleher
Senior VP and GM of Manufacturing & Operations0yrsno datano data
Kevin McBride
VP of Finance2.3yrsno data0.00036% $1.0m
Michael Mayberry
Senior VP2.1yrsno datano data
Archana Deskus
Senior VP & Chief Information Officer0yrsno datano data
Trey Campbell
Head of Investor Relations0yrsno datano data

2.2yrs

Average Tenure

53yo

Average Age

Experienced Management: INTC's management team is considered experienced (2.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Robert Swan
CEO & Director1.7yrsUS$16.71m0.0054% $15.3m
Andy Bryant
Executive Advisor & Director8.6yrsUS$4.07m0.0097% $27.1m
Frank Yeary
Independent Director10.9yrsUS$346.00k0.0011% $3.1m
James Goetz
Independent Director0.3yrsno data0.0040% $11.3m
Reed Hundt
Independent Director19.1yrsUS$341.00k0.0011% $3.0m
Risa Lavizzo-Mourey
Independent Director1.9yrsUS$187.50k0.000030% $84.0k
Gregory Smith
Independent Director2.9yrsUS$354.25k0.000070% $196.0k
Omar Ishrak
Independent Chairman & Lead Director0.08yrsUS$331.00k0.00011% $307.9k
Andrew Wilson
Independent Director2.4yrsUS$322.25k0.000040% $112.0k
Tsu-Jae Liu
Independent Director3.6yrsUS$331.00k0.00017% $475.9k

2.7yrs

Average Tenure

57.5yo

Average Age

Experienced Board: INTC's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: INTC insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Intel Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Intel Corporation
  • Ticker: INTC
  • Exchange: NasdaqGS
  • Founded: 1968
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Market Cap: US$279.930b
  • Shares outstanding: 4.28b
  • Website: https://www.intel.com

Number of Employees


Location

  • Intel Corporation
  • 2200 Mission College Boulevard
  • Santa Clara
  • California
  • 95054-1549
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
INTCNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDNov 1972
INTC *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNNov 1972
INTCSWX (SIX Swiss Exchange)YesCommon StockCHCHFNov 1972
INLDB (Deutsche Boerse AG)YesCommon StockDEEURNov 1972
4335SEHK (The Stock Exchange of Hong Kong Ltd.)YesCommon StockHKHKDNov 1972
INLXTRA (XETRA Trading Platform)YesCommon StockDEEURNov 1972
INTCBVC (Bolsa de Valores de Colombia)YesCommon StockCOCOPNov 1972
INTCSNSE (Santiago Stock Exchange)YesCommon StockCLUSDNov 1972
INT-UETLX (Eurotlx)YesCommon StockITEURNov 1972
INTCWBAG (Wiener Boerse AG)YesCommon StockATEURNov 1972
INCOENXTBR (Euronext Brussels)YesCommon StockBEUSDNov 1972
US_INTCKAS (Kazakhstan Stock Exchange)YesCommon StockKZKZTNov 1972
INTCBASE (Buenos Aires Stock Exchange)CEDEARS (EACH 5 REP 1 COM USD0.001)ARARSApr 1999
ITLC34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH REPR 1 COM SHBRBRLAug 2012

Biography

Intel Corporation provides computing, networking, data storage, and communication solutions worldwide. It operates through Data Center Group, Internet of Things Group, Non-Volatile Memory Solutions Group, Programmable Solutions Group, Client Computing Group, and All Other segments. The company offers platform products, such as CPU and chipset, system-on-chip, and multichip package products for cloud, enterprise, and communication infrastructure markets. It also provides NAND flash memory and DC persistent products for enterprise and cloud-based data centers, and users of business and consumer desktops and laptops; programmable semiconductors, such as field-programmable gate arrays, application-specific integrated circuits, and related products for communications, data center, industrial, and military markets; and various processors for notebooks, mobiles, and desktop PCs. In addition, it offers boards and systems, such as server boards and small form factor systems; and connectivity products for cellular modems, Ethernet controllers, silicon photonics, Wi-Fi, and Bluetooth. Further, the company develops computer vision and machine learning- based sensing, data analysis, localization, mapping, and driving policy technologies for advanced driver assistance systems and autonomous driving. It serves original equipment manufacturers, original design manufacturers, industrial and communication equipment manufacturers, and cloud service providers. The company was founded in 1968 and is headquartered in Santa Clara, California. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/21 00:09
End of Day Share Price2020/02/20 00:00
Earnings2019/12/28
Annual Earnings2019/12/28


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.