Trending Assets
Top investors this month
Trending Assets
Top investors this month
$INTC, My Largest Position and the Worst Earnings Report this Season
Intel has missed on basically every possible metric. From Revenue to Earnings, Gross Margin, Full Year Outlook gets revised down. It's pretty bad and I doubt many other companies will miss this badly. With that fun start, let's take a closer look.

Post media
A high-level look at the various business segments. Everything getting crushed except Mobileye and NEX.

Post media
This quarter was of course marked the launch of Intel's very first blockchain-based mining chip. Naturally, this could not have been shipped at a worse time with much of the crypto market down massively.

Post media
From $INTC Q1 Presentation the outlook seemed fairly positive...

Post media
Unfortunately, $INTC would miss everything by miles.

Post media
The Full Year outlook would get slashed down from $76b Revenue, 52% Margins, and $3.60 EPS.

While all this is bad there we're a few positives. Not many, but a few.

Intel reiterated its Full Year 2022 Free Cash Flow guidance of ($1-$2b).

Post media
As well as expanding its partnership with AWS and others like $LMT, $META, and even $NVDA.

Post media
And while not part of earnings Intel did announce MediaTek as a foundry Customer. This may give a solid boost heading into the back half of the year.

Post media
And finally, Gelsinger admits to the execution issues at Intel.

This is a tough one, given Intel is my largest position I will have to go back and reevaluate my initial thesis. This earnings report, while bad, is not necessarily game-changing.

A lot of the problems do seem very temporary and Intel had been behind the ball to start this year off. I will certainly be looking even closer at the next two earnings reports to gauge if $INTC is sufficiently on track.

Related
Already have an account?