“We Have Our Own Way”: Intel Stock (NASDAQ:INTC) Slips Amid Shocking Discovery at Huawei

Intel’s new CEO, Lip-Bu Tan, is shocked. He revealed as much recently when he discovered that Huawei had a large number of central processing unit (CPU) architects on its side, and was rapidly developing alternatives to technology forbidden to China by international decree. This revelation, sadly, did Intel itself few favors. Intel shares were down fractionally in Monday afternoon’s trading.

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China could soon lead the artificial intelligence (AI) and processor markets, Tan warned, noting that China was pulling together large numbers of engineers to optimize infrastructure and attempt to produce its own gains independent of systems that have been denied to it.

Apparently, Tan was attempting to recruit some of these very same engineers himself, when he discovered that one of his biggest competitors was not one of Intel’s standard rivals, but Chinese operations like Huawei. When he asked some of the engineers why they signed on with Huawei instead of Intel, multiple engineers noted, “Even though we don’t have access to the best tools like EDA from Cadence and Synopsys, we have our own way to do it.”

Big Reveals Ahead

Meanwhile, Intel also plans some exciting reveals ahead for March. Both the Core Ultra 5 250K Plus and the Core Ultra 7 270K Plus will be getting revealed on March 11. From there, reviews are set to go live on March 23, giving the regular users who might want to get hands on these processors insight on how those processors actually work in the field.

It is unclear, though, if the KF variants—those which do not have integrated graphics included—will show up at the same time. Reports suggest such an outcome is likely, though. Both chips, however, will represent significant gains in power, with big jumps in core counts and L3 cache sizes overall.

Is Intel a Buy, Hold or Sell?

Turning to Wall Street, analysts have a Hold consensus rating on INTC stock based on eight Buys, 21 Holds and four Sells assigned in the past three months, as indicated by the graphic below. After a 100.57% rally in its share price over the past year, the average INTC price target of $48.21 per share implies 6.28% upside potential.

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