Intel still a massive turnaround story that got 'way over its skies', says Bernstein's Stacy Rasgon
Speakers
Stacy Rasgon
— Senior Analyst, U.S. Semiconductors & Semiconductor Capital Equipment, Bernstein Research
Kelly
— Host
Summary
Stacy Rasgon of Bernstein Research discusses Intel's latest earnings and the stock's sharp selloff. He argues Intel has strong demand but remains supply-constrained and unable to capitalize on it, with 18A/14A ramp and customer expectations still carrying execution risk. He calls Intel a massive long-term turnaround story that became overextended on social-media hype, maintaining a Market Perform rating and $36 price target.
- Intel shares fell sharply after earnings and were down about 18% during the segment.
- Rasgon says Intel was caught flat-footed despite strong demand and its own manufacturing capacity.
- He notes 18A and Panther Lake are ramping, but yields and 14A customer revenue remain uncertain.
- He views Intel as a decade-long turnaround under CEO Lip-Bu Tan.
- He says the stock's 47% three-week run into earnings was based on vibes and tweets.
- Rasgon maintains a Market Perform rating and $36 price target on Intel.
Ideas
Stacy Rasgon
Senior Analyst, U.S. Semiconductors & Semiconductor Capital Equipment, Bernstein Research
0:50
Intel overextended; turnaround still a decade-long slog.
Rasgon maintains a Market Perform rating and $36 price target on Intel. He argues Intel is a massive turnaround story that became overextended: the stock rose 47% in three weeks on vibes and tweets despite company-specific execution issues. Although demand is strong and Intel has its own fabs, it was caught flat-footed and cannot capitalize quickly; 18A yields are not ramping faster, 14A customer expectations are ahead of themselves, and any 14A revenue is years away. CEO Lip-Bu Tan is doing the right things on costs and customer focus, but fixing Intel is a decade-long slog, so the recent pullback is deserved and the stock is unattractive at elevated levels.
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This CNBC video, published January 23, 2026, features Stacy Rasgon discussing INTC. 1 trade idea extracted by AI with direction and confidence scoring.
Speakers: Stacy Rasgon · Tickers: INTC