Citi raises Intel price target to $54, puts on Positive Catalyst Watch list
Citi analyst Christopher Danely raised his price target for Intel to $54 from $50 and keeps a Buy rating on the shares. Recent channel checks indicate order rates from the personal computer end market "remain solid," driven by shortages of PC microprocessors, Danely tells investors in a research note. The shortages began in Q3 of 2018 and Intel beat its Q3 revenue guidance by over a billion dollars, the analyst points out. He expects upside in Intel's Q4 since the shortages remain. The shortages are causing double ordering, says the analyst, who raised his above-consensus estimates on Intel. Danely also added the company to his firm's Positive Catalyst Watch list as he expects the stock to outperform in the near-term "driven by the upside and low valuation/poor sentiment."