Intel is pulling back from its 5G smartphone modem business, following Qualcomm’s settlement with Apple.
Apple and Qualcomm were in a long-drawn dispute over patent, during which Intel was delivering chips to the iPhone maker, But on Tuesday, the dispute ended with Apple and Qualcomm announcing a six-year licensing agreement as part of royalty settlement. That in turn, has led Intel to hold off launch of its 5G modem products for smartphones.
Intel "does not expect to launch 5G modem products in the smartphone space, including those originally planned for launches in 2020," the company said. The company, however, has suggested that it will continue investing in its 5G network infrastructure business.
Intel had earlier indicated that margins from the device market were thinner compared to data centers business. In his latest statement, CEO Robert Swan said about the smartphone market, “It has become apparent that there is no clear path to profitability and positive returns”.
Intel said that it will continue to meet its existing commitments for 4G smartphone modem product line.
INTC moved above its 50-day moving average on November 01, 2024 date and that indicates a change from a downward trend to an upward trend. In of 47 similar past instances, the stock price increased further within the following month. The odds of a continued upward trend are .
The Momentum Indicator moved above the 0 level on November 05, 2024. You may want to consider a long position or call options on INTC as a result. In of 93 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for INTC just turned positive on November 05, 2024. Looking at past instances where INTC's MACD turned positive, the stock continued to rise in of 46 cases over the following month. The odds of a continued upward trend are .
Following a +1 3-day Advance, the price is estimated to grow further. Considering data from situations where INTC advanced for three days, in of 315 cases, the price rose further within the following month. The odds of a continued upward trend are .
The 10-day RSI Indicator for INTC moved out of overbought territory on November 11, 2024. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 26 similar instances where the indicator moved out of overbought territory. In of the 26 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 5 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where INTC declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
INTC broke above its upper Bollinger Band on November 06, 2024. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Aroon Indicator for INTC entered a downward trend on November 04, 2024. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.047) is normal, around the industry mean (8.204). P/E Ratio (97.750) is within average values for comparable stocks, (57.393). Projected Growth (PEG Ratio) (1.153) is also within normal values, averaging (3.116). Dividend Yield (0.021) settles around the average of (0.021) among similar stocks. P/S Ratio (1.905) is also within normal values, averaging (47.931).
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. INTC’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. INTC’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 69, placing this stock worse than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a manufacturer of computer components and related products
Industry Semiconductors