Intel Corporation’s new CEO, Lip-Bu Tan, is facing pressure to make tough decisions, but investors remain optimistic despite concerns. Tan’s background and experience within Intel have earned him praise from analysts. His initial address left some employees worried about job cuts, following his previous attempts to reduce costs under former CEO Pat Gelsinger.
However, a recent development in Intel’s products division has boosted investor confidence. The company’s new Xeon 6 system-on-a-chip (SoC) is being used to integrate artificial intelligence (AI) into radio access networks (RANs). This technology has garnered interest from telephone services, giving Intel access to a new market.
Analysts have assigned a Hold consensus rating to INTC stock, based on one Buy and 27 Holds, with a price target of $23 per share. The average implies 4.13% downside risk after the company’s 43.08% loss in its share price over the past year.
Source: https://www.tipranks.com/news/intels-nasdaqintc-new-ceo-lays-path-to-tough-decisions