INTEL (#INTEL) Weekly Special Report based On 1.00 Lot Calculation:
GLOBAL SEMICONDUCTOR INDUSTRY
- THE SEMICONDUCTOR INDUSTRY IS CURRENTLY WORTH ~$526.8 BILLION (Source: Semiconductor Industry Association). The global semiconductor market size was valued at USD 526.8 billion in 2023 and is expected to reach around USD 1,883.7 billion by 2032. Semiconductors are critical components in the move to digitization of society, and are used in artificial intelligence, automotive and telecommunications amongst other things. Sales gained momentum in the latter part of 2023. Specifically, fourth-quarter sales amounted to $146.0 billion, marking an 11.6% increase over the same period in 2022 and an 8.4% rise over the third quarter of 2023. Moreover, global sales for December 2023 reached $48.6 billion, reflecting a 1.5% uptick compared to the previous month's total in November 2023. (Source: Semiconductor Industry Association)
- MARKET POTENTIAL: THE SEMICONDUCTOR INDUSTRY IS EXPECTED TO BECOME A $1.9T DOLLAR MARKET BY 2032: Some analysts are forecasting, that at the current rate of growth, the semiconductor industry is expected to reach $1.9 trillion in value that represents an industry annual growth of 12.28% during the forecast period 2024 to 2032.
THE COMPANY:
- Intel designs and manufactures computer components and related products. It is best known for its central processing units (CPUs). Its other products include graphic cards and flash memory. Intel is one of the oldest major chip makers in the world.
- MARKET SHARE (CPU): 1. INTEL (78%), 2. AMD (13%), 3. REST - APPLE, QUALCOMM, ARM (9%)
ANALYSIS AND EVENTS
- INTEL NEARS DEAL WITH APOLLO FOR $11 BILLION IRELAND PARTNERSHIP: US semiconductor giant Intel has entered exclusive talks with Apollo Global to finance a $11 billion chip-making plant in Ireland, as large corporations increasingly turn to private capital groups instead of banks to fund their expansion projects.
- ISRAEL GRANTS INTEL $3.2 BILLION FOR NEW $25 BILLION CHIP PLANT: Israel’s government has agreed to give Intel Corp a $3.2 billion grant for a new $25bn chip plant it plans to build in southern Israel, both sides have said. Deal with US chipmaker is ‘largest investment ever’ in Israel, Prime Minister Benjamin Netanyahu says.
- US GOVERNMENT AWARDS $19.5 BILLION IN GRANTS, LOANS TO INTEL TO BOOST US CHIP OUTPUT. Biden announced the preliminary agreement for US$8.5 billion in grants and up to US$11 billion in loans for Intel in Arizona, where some of the funding will be used to build two new factories and modernise an existing one.
- INTEL TO RELEASE GAUDI 3 AI CHIP IN Q3 2024: Gaudi 3 is set to launch in late 2024, with Intel already sending out samples to some customers. The hardware is expected to be powerful, boasting 1835 TFLOPS of compute power, as Intel aims to make a mark in the AI market. Based on Intel’s internal benchmarks, the company expects to outperform NVIDIA's top accelerators in some areas, potentially securing more of the market share. This launch also marks a shift in how Intel positions its AI accelerator products, with the Gaudi lineup now taking the lead as Intel's main server accelerators.
STOCK PRICE ACTION
- PRICE ACTION: Intel is currently trading at $31.00. Intel reached its most recent high of $50.76 on December 27th 2023. This implies that the stock is currently trading ~40% below its most recent high. If a full recovery is made, it would provide an upside potential of ~64%. Although the price could decline further.
ANALYST FORECASTS:
- ANALYST FORECASTS: Barclays: $40, Wells Fargo: $38 Morgan Stanley: $36.
(#INTEL), May 16, 2024
Current Price: 31.00
|
Intel |
Weekly |
|
Trend direction |
|
|
50.00 |
|
|
42.00 |
|
|
36.00 |
|
|
27.00 |
|
|
26.00 |
|
|
25.00 |
Example of calculation base on weekly trend direction for 1.00 Lot1
|
Intel |
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|
Pivot Points |
||||||
|
Profit or loss in $ |
19,000.00 |
11,000.00 |
5,000.00 |
-4,000.00 |
-5,000.00 |
-6,000.00 |
|
Profit or loss in €2 |
17,477.77 |
10,118.71 |
4,599.41 |
-3,679.53 |
-4,599.41 |
-5,519.30 |
|
Profit or loss in £2 |
14,989.78 |
8,678.30 |
3,944.68 |
-3,155.74 |
-3,944.68 |
-4,733.62 |
|
Profit or loss in C$2 |
25,882.56 |
14,984.64 |
6,811.20 |
-5,448.96 |
-6,811.20 |
-8,173.44 |
- 1.00 lot is equivalent of 1000 units
- Calculations for exchange rate used as of 09:30 (GMT+1) 16/05/2024
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