Intel’s (NASDAQ: INTC) remarkable stock market performance that took the equity 459.95% higher from $22.56 one year ago to $126.33 at press time on May 13 appears to have done little to turn some prominent analysts bullish.
Specifically, on May 12, INTC shares received two significant price target upgrades, albeit with both being associated with ‘Hold’ – ‘Neutral’ – ratings.
Arguably the more alarming of these was provided by Deutsche Bank’s Ross Seymore who left his previous 12-month forecast of $63 aside but still predicted Intel stock will contract 20.84% to $100.
Still, the analyst noted that reports of the American semiconductor giant’s foundry business gaining traction with customers were a positive development, backing the decision to increase the price target by 58.73%.
Simultaneously, Mizuho expert Vijay Rakesh confirmed he regards Intel stock as a ‘Hold,’ but instead of his previous forecast of $100 – one that would see INTC shares drop 20.84% – he estimated a 1.84% decline to $124 will take place in the next 12 months.
Wall Street sets Intel’s stock price target for the next 12 months
Notably, despite the blue-chip chipmaker’s remarkable rise that followed a business turnaround and a $9 billion investment from President Donald Trump’s administration, Wall Street remains largely skeptical.
Indeed, INTC is rated as a ‘Hold’ overall and is, on average, predicted to decline 31.43% to $82.70 in the coming 12 months, per the data Finbold retrieved from the stock analysis platform TipRanks on May 13.
The uncertainty is further underlined by the fact that, out of the five prominent revisions issued in May, one was a ‘Buy’ recommendation, one ‘Sell,’ and the remaining three all positioned Intel shares as a ‘Hold.’
Additionally, it would appear that even the Intel bulls estimate the recent upsurge is unsustainable. Specifically, while Benchmark’s Cody Acree issued a ‘Buy’ rating on May 11 and increased his price target from the previous $76, he still predicted a 16.89% decline to $105.
Meanwhile, Vivek Arya of Bank of America (NYSE: BAC) – responsible for the only ‘Sell’ rating in May – raised his own forecast from $56 to $96 for a 24% anticipated drop.
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