Intel's $8.5B Government Windfall Fails To Stop 15,000 Layoffs At Chipmaker
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Aug 07 2024
0mins
Should l Buy INTC?
Source: Benzinga
Intel Workforce Reduction: Intel Corp plans to cut 15% of its workforce, approximately 15,000 jobs, as part of a restructuring plan after receiving $8.5 billion in federal grants from the CHIPS and Science Act aimed at boosting semiconductor development.
Financial Challenges: The company's CEO stated that the decision is necessary due to disappointing revenue growth and high costs, with second-quarter revenue reported at $12.8 billion, down 1% from the previous year, and a loss per share of $0.38.
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Analyst Views on INTC
Wall Street analysts forecast INTC stock price to fall
29 Analyst Rating
5 Buy
19 Hold
5 Sell
Hold
Current: 43.100
Low
20.00
Averages
39.30
High
52.00
Current: 43.100
Low
20.00
Averages
39.30
High
52.00
About INTC
Intel Corporation is a global designer and manufacturer of semiconductor products. The Company operates through three segments: Intel Products, Intel Foundry, and All Other. Its Intel Products segment includes Client Computing Group (CCG), Data Center and AI (DCAI), Network and Edge (NEX). The CCG is bringing together the operating system, system architecture, hardware, and software application integration to enable PC experiences. DCAI delivers workload-optimized solutions to cloud service providers and enterprises, along with silicon devices for communications service providers, network and edge, and HPC customers. NEX helps networks and edge compute systems from fixed-function hardware to general-purpose compute, acceleration, and networking devices running cloud native software on programmable hardware. The Intel Foundry segment comprises technology development, manufacturing and foundry services. All Other segments include Altera, Mobileye, Other.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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