The response to Intel's earnings is lukewarm: "revenue impresses but losses pile up"

  • Intel shares were little changed post-earnings
Intel Stock Analysis
Intel Stock Analysis

From the Intel Q2 2025 Earnings, in summary

Revenue Beat, EPS Miss:

  • Intel reported $12.9 billion in Q2 revenue (flat YoY), beating estimates ($12B). However, it posted an adjusted loss of $0.10 per share, missing expectations of a $0.01 gain.

  • Heavy Restructuring Costs:

    • $1.9 billion in restructuring charges from ~15% workforce cuts (excluded from adjusted EPS)

    • $800 million in impairment charges and $200 million in other one-time costs did impact adjusted EPS by 20 cents

    • GAAP net loss: $2.9 billion

  • Business Segment Results:

    • Client computing: $7.9B (vs. $7.4B expected)

    • Data center & AI: $3.9B (vs. $3.6B expected)

  • Q3 Guidance:

    • Revenue: $12.6B–$13.6B (midpoint above $12.7B consensus)

    • Adjusted EPS: break-even (vs. 4 cents expected)

Dow Jones / Market Watch (gated) have gathered analyst responses. In (brief) summary:

  • Bernstein: Strategy is more important than results; structural headwinds remain. PC business may benefit from tariffs, but it's not a long-term growth story.
  • BofA: Intel's new chip process (18A) and enterprise refresh cycle may offer upside. However, competition from AMD and Nvidia remains intense, and Intel still lacks strong AI accelerators.
Intel Gaudi 3

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