Intel's Q1 Net Income Surges

Intel Corporation (INTC) reported a Q1 non-GAAP net income of $0.18 per share, marking a significant increase from a loss of $0.04 per share in the same period last year. The company's net revenue for the quarter ending March 30, 2024, was $12.72 billion, up 8.6% from $11.72 billion a year earlier. The company's earnings per share (EPS) exceeded expectations.

Intel has a history of reversing its earnings-driven after-hours trade in the next-day action. The upside advance tends to reverse or narrow in 63% of the cases, while the downside tends to widen between the sessions, with the stock adding to its downside move in 52% of the cases.

For the upcoming Q2, Intel is projecting non-GAAP EPS of $0.10 per share on revenue between $12.5 billion and $13.5 billion. The company has surpassed analysts' earnings expectations in six of the past eight reporting periods.

Analyst recommendations on Intel's stock include eight 'strong buy' or 'buy' ratings, 33 'hold' ratings, and four 'sell' or 'strong sell' ratings. Earlier this week, certain analysts cut their price targets on Intel.

In recent developments, Intel detailed a new version of its artificial intelligence chip at its Vision event, which has been a point of interest for investors. However, despite these developments, INTC shares are down about 31% for the year to date.