Intel (INTC) Q2 Earnings: What To Expect

Petr Huřťák /
2023/07/26 5:52 am EDT

Computer processor maker Intel (NASDAQ:INTC) will be reporting earnings tomorrow after market hours. Here's what to look for.

Last quarter Intel reported revenues of $11.7 billion, down 36.2% year on year, beating analyst revenue expectations by 5.25%. It was a mixed quarter for the company, with an impressive beat of analysts' EPS estimates but a decline in its operating margin.

Is Intel buy or sell heading into the earnings? Read our full analysis here, it's free.

This quarter analysts are expecting Intel's revenue to decline 20.8% year on year to $12.1 billion, a further deceleration on the 22% year-over-year decrease in revenue the company had recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.03 per share.

Intel Total Revenue

The analysts covering the company have been growing increasingly bullish about the business heading into the earnings, with revenue estimates seeing five upwards revisions over the last thirty days. The company missed Wall St's revenue estimates twice over the last two years.

Looking at Intel's peers in the semiconductors segment, some of them have already reported Q2 earnings results, giving us a hint of what we can expect. SMART's revenues decreased 17.1% year on year, beating analyst estimates by 2.2% and Sensata Technologies reported revenues up 4.07% year on year, exceeding estimates by 3.47%. SMART traded up 5.38% on the results, and Sensata was flat after reporting. Read our full analysis of SMART's results here and Sensata Technologies's results here.

Investors in the semiconductors segment have had steady hands going into the earnings, with the stocks up on average 1.51% over the last month. Intel is down 0.41% during the same time, and is heading into the earnings with analyst price target of $32.7, compared to share price of $33.94.

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The author has no position in any of the stocks mentioned.