Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
At the same time, it's talking about the CEO saying demand is quite strong, says the chipmaker missed a lot of opportunities, says production yield's not up to his standards.
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
And then he goes on to say, making, or Intel says, the company making good progress in 14A production, on track for volume production in 2028, has multiple engineering engagements on 14A.
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
Help me understand what that means.
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
So the Foundry Services Division, their factory unit, revenue of about $4.5 billion.
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
It was a gain of about 3.8%, Ivan, from the year before.
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
It currently relies on almost exclusively, as you know, Intel product divisions for orders.
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
It's looking to expand beyond that.
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
Is that crucial for the company's future growth?
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
So in terms of going back to, and you rightfully so, Ivan, point out the run-up that we've seen in Ivan shares and Intel shares.
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
You know, the information put out a story and it says Intel's forward EBITDA multiple has lifted to 20 times highest level since 2021, well above the 12.5 times at which TSMC currently trades.
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
This is what I was trying to get to before with our simulcast.
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
I was talking market caps, but it has to do with valuation.
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
Intel now pricier than TSMC.
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
Does that make sense?
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
Yeah, Liputan saying, you know, Intel faces an execution challenge.
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
We are laser focused as a team to improve that.
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
To be candid, it's just our execution that needs to improve.
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
Ivan Feinseth, great stuff as always.
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
So appreciate it.
Bloomberg Talks
Instant Reaction: Intel Gives Weak Forecast, Shares Slide Afterhours
He's, of course, Chief Investment Officer over at Tigris Financial Partners joining us on Intel.