Regardless of the strong results of the gross profit margin, the net profit margin of 18.97% trails the industry average. Yes! Intel's Q2 revenue climbed 20% year over year to $19.7 billion, driven by strong growth in its data-focused businesses. Shares of chip giant Intel slumped Thursday in the extended session after releasing better-than-expected earnings as the company appeared to do little to assuage investors that it was making progress in ensuring its continued dominance as the largest semiconductor maker in the U.S. AMD's stock, in turn, rose sharply on the news. INTC stock was down 6.8% after-hours Thursday and closed out normal trading hours down 1%. It wasn’t enough, and the stock is down about 10%. Intel has been facing difficulties with its transition to the smaller so-called seven-nanometer fabrication process that it will use to produce future generations of chips. Intel was founded in 1968 by Gordon Moore and Robert Noyce, after the two left Fairchild Semiconductor. Market sentiment has been fizzling over the past few days as worries about the pace of the US economic recovery have resurfaced. The firm also exceeded the industry average cash flow growth rate of -24.53%. (NVDA) has also moved to become a potential rival with its acquisition of Arm, a company known for licensing chips but not producing them itself. Founded in 1993 in Alexandria, VA., by brothers David and Tom Gardner, The Motley Fool is a multimedia financial-services company dedicated to building the world's greatest investment community. Analysts forecast an adjusted profit of $1.10 a share. Morningstar: Copyright 2018 Morningstar, Inc. All Rights Reserved. Although INTC's debt-to-equity ratio of 0.23 is very low, it is currently higher than that of the industry average. CFO George Davis explained that while demand for PCs was strong in the quarter, the Intel chip-loaded PCs that sold strongest were in the consumer and education markets, "which tends to be ... more entry-level" (i.e., low margin). TheStreet Ratings team rates INTEL CORP as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation: "We rate INTEL CORP (INTC) a BUY. WhatsApp. While some … Why buying the Intel Corporation (NASDAQ:INTC) Stock Today Might Make Sense. Giving new guidance for the full year fiscal 2020, Intel raised its estimates to $75.3 billion in sales, $4.55 per share in GAAP earnings, and $4.90 per share in pro forma profit. He battle-tested his investment philosophy and strategies as portfolio manager of Tier 1, a market-crushing Motley Fool real-money portfolio that delivered 24.58% annualized returns during its existence. You can view the full analysis from the report here. However, Intel gave investors multiple causes for concern. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. Sales declined 4% year over year, gross profit margins fell 570 basis points, and GAAP profits per share declined 25%. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. Factset: FactSet Research Systems Inc.2018. As of 3:20 p.m. EDT, Intel's stock was down more than 16%. Intel Stock Price History by Markets Insider. #TradeTalks: How Are Volatility Markets Pricing in a Faster Resolution of the Election Result? For non-personal use or to order multiple copies, please contact Dow Jones Reprints at 1-800-843-0008 or visit www.djreprints.com. Cumulative Growth of a $10,000 Investment in Stock Advisor, Why Intel Stock Plunged Today @themotleyfool #stocks $INTC $AMD, NVIDIA and AMD Shouldn't Worry About Intel's Discrete GPUs, Even Intel's Cloud Business Slowed Way Down, Intel's Data Center Business Disappoints in Q3, Copyright, Trademark and Patent Information. Location*Please select…United StatesAfghanistanÅland IslandsAlbaniaAlgeriaAmerican SamoaAndorraAngolaAnguillaAntarcticaAntigua and BarbudaArgentinaArmeniaArubaAustraliaAustriaAzerbaijanBahamasBahrainBangladeshBarbadosBelarusBelgiumBelizeBeninBermudaBhutanBolivia, Plurinational State ofBonaire, Sint Eustatius and SabaBosnia and HerzegovinaBotswanaBouvet IslandBrazilBritish Indian Ocean TerritoryBrunei DarussalamBulgariaBurkina FasoBurundiCambodiaCameroonCanadaCape VerdeCayman IslandsCentral African RepublicChadChileChinaChristmas IslandCocos (Keeling) IslandsColombiaComorosCongoCongo, the Democratic Republic of theCook IslandsCosta RicaCôte d'IvoireCroatiaCubaCuraçaoCyprusCzech RepublicDenmarkDjiboutiDominicaDominican RepublicEcuadorEgyptEl SalvadorEquatorial GuineaEritreaEstoniaEthiopiaFalkland Islands (Malvinas)Faroe IslandsFijiFinlandFranceFrench GuianaFrench PolynesiaFrench Southern TerritoriesGabonGambiaGeorgiaGermanyGhanaGibraltarGreeceGreenlandGrenadaGuadeloupeGuamGuatemalaGuernseyGuineaGuinea-BissauGuyanaHaitiHeard Island and McDonald IslandsHoly See (Vatican City State)HondurasHong KongHungaryIcelandIndiaIndonesiaIran, Islamic Republic ofIraqIrelandIsle of ManIsraelItalyJamaicaJapanJerseyJordanKazakhstanKenyaKiribatiKorea, Democratic People's Republic ofKorea, Republic ofKuwaitKyrgyzstanLao People's Democratic RepublicLatviaLebanonLesothoLiberiaLibyan Arab JamahiriyaLiechtensteinLithuaniaLuxembourgMacaoMacedonia, the former Yugoslav Republic ofMadagascarMalawiMalaysiaMaldivesMaliMaltaMarshall IslandsMartiniqueMauritaniaMauritiusMayotteMexicoMicronesia, Federated States ofMoldova, Republic ofMonacoMongoliaMontenegroMontserratMoroccoMozambiqueMyanmarNamibiaNauruNepalNetherlandsNew CaledoniaNew ZealandNicaraguaNigerNigeriaNiueNorfolk IslandNorthern Mariana IslandsNorwayOmanPakistanPalauPalestinian Territory, OccupiedPanamaPapua New GuineaParaguayPeruPhilippinesPitcairnPolandPortugalPuerto RicoQatarReunionRomaniaRussian FederationRwandaSaint BarthélemySaint Helena, Ascension and Tristan da CunhaSaint Kitts and NevisSaint LuciaSaint Martin (French part)Saint Pierre and MiquelonSaint Vincent and the GrenadinesSamoaSan MarinoSao Tome and PrincipeSaudi ArabiaSenegalSerbiaSeychellesSierra LeoneSingaporeSint Maarten (Dutch part)SlovakiaSloveniaSolomon IslandsSomaliaSouth AfricaSouth Georgia and the South Sandwich IslandsSouth SudanSpainSri LankaSudanSurinameSvalbard and Jan MayenSwazilandSwedenSwitzerlandSyrian Arab RepublicTaiwanTajikistanTanzania, United Republic ofThailandTimor-LesteTogoTokelauTongaTrinidad and TobagoTunisiaTurkeyTurkmenistanTurks and Caicos IslandsTuvaluUgandaUkraineUnited Arab EmiratesUnited KingdomUnited States Minor Outlying IslandsUruguayUzbekistanVanuatuVenezuela, Bolivarian Republic ofViet NamVirgin Islands (British)Virgin Islands, U.S.Wallis and FutunaWestern SaharaYemenZambiaZimbabwe.