Chicago, Illinois – Intel’s stock price has experienced significant fluctuations over the past year as investors assessed various factors such as emerging opportunities and geopolitical tensions. Amid these considerations, analysts from UBS have projected a notable increase in the semiconductor giant’s share price in the near future.
Published on April 1, the research note by UBS analysts reiterated a neutral rating on Intel but raised the price target on the stock from $46 to $50 per share. At the current trading price of around $44 per share, this adjustment suggests a potential uptick of almost 14% within the next 12 months.
While Intel has faced challenges in its core business of designing CPUs for computers and servers, including competition from Advanced Micro Devices and Arm Holdings, the company is also exploring growth opportunities. One such opportunity is the expansion into chip fabrication services, aiming to cater to other companies’ chip designs. Although UBS analysts see promise in this venture, concerns remain about Intel’s positioning in AI and other key growth sectors.
Despite uncertainties surrounding Intel’s role in the AI race, the company’s potential as a fabrication services provider appears undervalued. Long-term investors may find it advantageous to consider investing in Intel at its current valuation.
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Writer Keith Noonan, who has no vested interest in any mentioned stocks, emphasizes Advanced Micro Devices’ position in The Motley Fool’s recommendations while also referencing the publication’s disclosure policy. For further details, visit the original publication about Intel’s projected stock increase by a Wall Street analyst.