Stifel Maintains Hold on Intel, $35 Price Target

Stifel analyst Ruben Roy reiterated a Hold rating and $35 price target on Intel (NASDAQ: INTC).

“Intel delivered a strong 3Q beat, with revenue, margin, and adj-EPS all exceeding expectations, with gross margin predominantly benefiting from lower-than-expected inventory write-downs, a more-favorable mix, and ongoing cost discipline.

4Q guidance was relatively in line with consensus when adjusting for the Altera deconsolidation, signaling some resilience in Intel’s core x86 and AI infrastructure businesses.

Management expects supply constraints (older nodes vs. newer nodes) and early 18A ramp costs to limit margin expansion until after Q1 2026.

Strategic wafer allocation favors DCAI over CCG, aligning with AI infrastructure demand.

Commentary around 18A and 14A nodes, Foundry recovery, and portfolio reshaping under CEO Lip-Bu Tan suggests a tangible multi-year turnaround is underway and in early stages.

Investors should monitor yield progress, customer traction, and product mix evolution, with margin accretion and competitiveness expected to improve meaningfully in 2H26.

Intel’s strengthening balance sheet supports a higher multiple, while we await fundamentals to inflect.”

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