• Sat. Apr 20th, 2024

Intel’s Foundry Business Faces $7 Billion Operating Loss in 2023, but Intel Plans to Turnaround with $100 Billion Investment in US Chip Factories

BySamantha Jones

Apr 3, 2024
Operating Loss of $7 Billion Reported by Intel’s (NASDAQ:INTC) Foundry Business

Intel recently reported that its Foundry business faced an operating loss of $7 billion in 2023, compared to $5.2 billion in the previous year. The company aims to achieve break-even operating margins by 2030, with expectations for its Foundry business to experience its highest operating losses in 2024. However, within the next seven years, Intel anticipates reaching 40% non-GAAP gross margins and 30% non-GAAP operating margins.

To support its turnaround efforts, Intel plans to invest $100 billion in constructing and expanding chip factories in four U.S. states. This initiative is crucial for the company to attract clients and showcase its manufacturing capabilities.

On Wall Street, analysts have a consensus Hold rating on Intel stock, with seven Buys, 24 Holds, and four Sells assigned in the past three months. Despite a 35% increase in its share price over the past year, the average price target for INTC stock stands at $46.60 per share, indicating a 6.05% upside potential.

By Samantha Jones

As a content writer at newsnnk.com, I weave words into captivating stories that inform and engage our readers. With a passion for storytelling and an eye for detail, I strive to deliver high-quality and engaging content that resonates with our audience. From breaking news to thought-provoking features, I am dedicated to providing informative and compelling articles that keep our readers informed and entertained. Join me on this journey as we explore the world through the power of words.

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