Intel Stock Jumped Today -- What's Next After Its Q1 Results?

Source The Motley Fool

Intel (NASDAQ: INTC) stock posted substantial gains in Thursday's trading. The company's share price ended the day's trading with a 4.4% gain. Meanwhile, the S&P 500 index jumped 2% in the session, and the Nasdaq Composite index rose 2.7%.

Intel's valuation rose again in Thursday's trading in conjunction with hopes for resolutions on the trade war front, spurring bullish momentum for the broader market. But the guidance picture provided by the company with its first-quarter report this afternoon suggests that today's gains could be poised to evaporate tomorrow.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More »

Intel stock rose today on hopes trade war de-escalation could be in sight

The market saw another day of big gains Thursday as investors bought back into stocks on hopes that some trade war tensions could soon be alleviated. Reports suggesting that the Trump administration intends to get a deal done with China and bring tariffs lower helped drive bullish market momentum, and news indicating the U.S. could also be nearing a trade deal with India also helped send valuations higher.

But Intel's Q1 report and guidance signals valuation pressures in the near term

Intel reported its Q1 results after the market closed today, and actually posted sales and earnings performance for the period that came in significantly better than Wall Street's targets. The business posted earnings per share (EPS) of $0.13 on sales of $12.67 billion, coming in far ahead of the average analyst estimate's call for per-share earnings of $0.01 on sales of $12.3 billion.

On the other hand, Intel guided for a substantial sequential performance decline in the quarter. Management's midpoint guidance calls for Q2 sales to come in at just $11.8 billion, suggesting a decline of roughly 7% year over year. Meanwhile, the business guided for a breakeven result in the current quarterly period. The average Wall Street target had called for a profit of $0.06 per share. The stock is down roughly 4.6% in after-hours trading as of this writing. While the Q1 earnings beat surpassed the Q2 guidance miss, investors may be worried that tariff and trade war dynamics may have pulled demand forward last quarter -- and that future performance is poised to be weaker as a result.

Should you invest $1,000 in Intel right now?

Before you buy stock in Intel, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Intel wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $566,035!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $629,519!*

Now, it’s worth noting Stock Advisor’s total average return is 829% — a market-crushing outperformance compared to 155% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of April 21, 2025

Keith Noonan has positions in Intel. The Motley Fool has positions in and recommends Intel. The Motley Fool recommends the following options: short May 2025 $30 calls on Intel. The Motley Fool has a disclosure policy.

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
AUD/USD: Current price action is likely the early stages of a recovery – UOB GroupAustralian Dollar (AUD) is likely to trade in a sideways range between 0.6220 and 0.6290. In the longer run, current price action is likely the early stages of a recovery phase that could potentially reach 0.6350, UOB Group’s FX analysts Quek Ser Leang and Lee Sue Ann note.
Author  FXStreet
Jan 22, Wed
Australian Dollar (AUD) is likely to trade in a sideways range between 0.6220 and 0.6290. In the longer run, current price action is likely the early stages of a recovery phase that could potentially reach 0.6350, UOB Group’s FX analysts Quek Ser Leang and Lee Sue Ann note.
placeholder
Five bullish Shiba Inu (SHIB) Price Predictions for April 2025SHIB price targets diverge as investors weigh Shibarium L3 upgrades, burn-rate surges, and altcoin market sentiment. Forecasts range from a conservative $0.000012 to a parabolic $0.00030.
Author  FXStreet
Apr 16, Wed
SHIB price targets diverge as investors weigh Shibarium L3 upgrades, burn-rate surges, and altcoin market sentiment. Forecasts range from a conservative $0.000012 to a parabolic $0.00030.
placeholder
Ethereum Price Stays Resilient — Upside Break May Be AheadEthereum price started a downside correction below the $1,780 level. ETH is now consolidating near the $1,800 zone and might aim for a move above $1,820.
Author  NewsBTC
Yesterday 03: 52
Ethereum price started a downside correction below the $1,780 level. ETH is now consolidating near the $1,800 zone and might aim for a move above $1,820.
placeholder
Gold price slides back closer to $3,300 amid tariff deals optimismGold price (XAU/USD) struggles to capitalize on the previous day's bounce from the vicinity of the $3,265-3,260 pivotal support and attracts fresh sellers during the Asian session on Tuesday.
Author  FXStreet
20 hours ago
Gold price (XAU/USD) struggles to capitalize on the previous day's bounce from the vicinity of the $3,265-3,260 pivotal support and attracts fresh sellers during the Asian session on Tuesday.
placeholder
EUR/USD ticks lower despite uncertainty over US-China tradeEUR/USD edges lower to near 1.1400 during European trading hours on Tuesday. The major currency pair ticks lower as the US Dollar (USD) steadies, but remains broadly on edge amid escalating uncertainty about the trade outlook between the United States (US) and China.
Author  FXStreet
18 hours ago
EUR/USD edges lower to near 1.1400 during European trading hours on Tuesday. The major currency pair ticks lower as the US Dollar (USD) steadies, but remains broadly on edge amid escalating uncertainty about the trade outlook between the United States (US) and China.
goTop
quote