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This is the closing bell on this stock movers report. The company's making moves at the close of US trading with Carol Masser, Tim Stenovack, Romain Bostik, and Katie Greifeller.
All Right, as we wait for Intel expected to cross any moment, I'm just gonna again go back to up. We've got it.
That's the mitail Earning's out right now. One que revenue at thirteen point six billion dollars. The street was looking for twelve point four That is a beat. Operating margin at twelve point three percent, the street was looking for three point oh eight, so that is also a beat as well. Adjusted EPs twenty nine cents, the street was looking for one cents. That's the beat. Here's your forecast
for the second quarter. The company says expect revenue in the range of thirteen point eight to fourteen point eight billion. The low end of that range is above the average of street estimates. They were looking for about thirteen billion dollars. Even data center activity in the most recent quarter also coming in at about five billion dollars, that is above estimates.
And I just want to also just put a finer note on this, Carol and Tim, when we talk about this idea of where this company goes next, that foundry business here, I just want to put a little bit of a focus on that as well. The headline in the most recent quarter of foundry revenue five point four to two billion, the street was looking for four point eight.
Yeah, that's a big beat and hire by about sixteen percent year over a year. You can see in the press release the CFO saying that we remain focused on maximizing our factory factory network to improve available supply and meet our customer needs throughout the year. Tim, you take a look at this pop after hours intel hire by about ten percent. This was a company that had a big bar to clear when it comes to recent expectations.
Yeah, I'm going back to the press release. Like you were looking at Katie agentic AI. The next wave of AI will bring intelligence closer to the end user, a solid foundation in place. Lipputen also talking about the deliberate reset on how we operate drove a six consecutive or as you mentioned, I go back to the US investment in this and that what that means for this company. If this company would have been able to do this
without the US investment. Where they are in this turnaround, what the exit of this investment looks like, if ever. I mean, we're in a unique time period where the US share the US you know, the US citizen is a shareholder of this company, which which I think you know has done very very well at least since the US made that investment.
It's an interesting chapter in the history of US capitalism, that's for sure.
Yeah, we're not even talking about Spirit Airlines. Where do we go there.
It's also an interesting case in terms of just watching the market reaction. I mean, intell is a stock that's up eighty percent year to date, it's up another twelve percent. Ian King out who knows this company so well out with a readthrow on the earnings, he talked, looks like in an interview with the CEO, Le Bhutan, and what
Ton said was there is huge demand. We are working very hard with our team to make sure we deliver that we meet the demand, but we are still short because the demand keeps increasing from the customers.
He said.
Intel delivered a solid result ahead of its projections, and he expects the strong demand for processors used in AI systems to expand, so the company's laser focused an increasing output from Intel's factories, which still cannot produce enough to fill all its orders. And this is where companies have gotten into trouble. The demands there, but they can't meet it.
Well, this has always been the concern. I mean even prior Tolputam was the idea that we knew the potential was there. The question is can they fill it? They talk a lot about in the press release and some of the headlines crossing the wire lifting the CAPEX plan for twenty twenty six to even with last year, also
talking about how it's investing more in new machinery. It also points out, though too, that it's not commenting and thanks for putting up the Brady Brunch screen there, that it's not commenting on deals yet with external customers here.
So Tim, of course you talk about some of the state craft involved here and the idea that at least if we're talking about a home grown sort of fab business here in the US, what the capabilities can be, but more importantly, can it start to actually show improve on that sometime soon?
You up about the foundry business. Yeah, so let's go back to Ian's story because.
I just shares her up seventeen percent.
Right now, all right, the Foundry Service and division, according to Ian, that's the company's factory unit, generating revenue of five point four billion, up sixteen percent. The unit currently relies almost exclusively on Intel product divisions for orders. This isn't me, this is Ian King, who knows this company though it is seeking as we know outside customers. It's PC chip division at revenue of seven point seven billion, and the data center unit posting sales of five point
one billion. All of those totals topping wall.
I wonder if this is sort of indicative of a kind of the evolution of this AI data center space. And we were talking with an analysts a couple of days ago about the ship from GPUs the CPU, the focus from GPUs to CPUs, and the idea that this kind of benefits, if you will, kind of some of the older chip makers. I mean, I was kind of joking at the top of the show how old and
boring Texas Instruments was. But you know, let's face an, Intel basically the second oldest chip maker out there in the US at least still standing.
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