58.00 -0.43 (-0.74%)
After hours: 6:30PM EDT
|Bid||58.05 x 900|
|Ask||58.28 x 1200|
|Day's range||56.12 - 58.75|
|52-week range||42.86 - 69.29|
|Beta (5Y monthly)||0.83|
|PE ratio (TTM)||12.41|
|Earnings date||22 Apr 2020|
|Forward dividend & yield||1.32 (2.44%)|
|Ex-dividend date||05 May 2020|
|1y target est||63.17|
(Bloomberg) -- Intel Corp. is trying to sell its new laptop chips in an old way -- by emphasizing their speed.The world’s biggest chipmaker is touting the clock speed of its new H line of processors, citing their ability to process data at more than 5 gigahertz, or 5 billion cycles a second.“Frequency is the thing we’ve optimized for,” said Fredrik Hamberger, an Intel general manager. “These are the first mobile processors to break 5 gigahertz.”Laptops based on these new 10th-generation Core design chips will start to appear in April. The top-of-the-range part can count as fast as 5.3 gigahertz when operating in “Turbo Boost” mode, Intel said. That targets video gamers and professional content creators who often influence what is considered the best PC hardware.The new products are being rolled out as Intel faces rising threats to its industry leadership. Smaller rival Advanced Micro Devices Inc. started fielding more competitive chips about two years ago.Intel pioneered the sale of processors based on clock speed. In 2001, then company President Paul Otellini promised Intel’s Pentium design would scale all the way to 20 gigahertz. But the company’s engineers underestimated how much power was needed, and how much heat would be generated by such chips.As the new century progressed, laptops became more popular, and those slim designs couldn’t handle power-hungry, hot processors as well as desktop machines. So Intel and the industry started making multi-core semiconductors that combined several processors into one. Performance was now measured by the ability to run different workloads at the same time, rather than pure speed.AMD sells new processors that have more cores than Intel chips, garnering praise from gamers and PC reviewers. That’s helped the smaller company take market share from Intel.Intel has also struggled to maintain its lead in manufacturing technology. AMD outsources manufacturing to specialists such as TSMC, which has production technology that is well ahead of Intel’s.Intel’s Chipmaking Throne Is Challenged by Taiwanese UpstartThe new H range of Intel chips are made with 14-nanometer production technology. The company originally planned to upgrade to 10-nanometer in 2017, but that is only beginning to happen in mass volume this year. AMD’s latest processors use TSMC’s 7-nanometer capabilities.Intel says most video games don’t take advantage of multi-core chips and are best served by higher clock speeds. Some 60% of the new models in the H range will be capable of hitting that 5-gigahertz mark or higher, it said. That speed is only achieved in short bursts on limited numbers of cores, or just single cores in a “turbo” mode that shuts down other cores.The base rate, the normal operating speed of the chips, is between 2 and 3 gigahertz, where most of the industry’s products have been for more than a decade.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Intel breaks the 5 GHz barrier for laptops with the launch of the 10th Gen Intel Core H-series mobile processors.
(Bloomberg) -- Huawei Technologies Co. is bracing for its most difficult year on record in 2020, when tightening U.S. sanctions and the Covid-19 pandemic threaten to slam an already slowing business.Rotating Chairman Eric Xu said he’s aware of the potential for Washington to tighten restrictions on the company, including by stopping Taiwan Semiconductor Manufacturing Co. from selling chips to Huawei. The Chinese government wouldn’t tolerate such action and it would irrevocably damage the global supply chain, Xu said in some of Huawei’s strongest comments against the Trump administration’s measures so far.“If the Pandora’s box were to be opened, we’ll probably see catastrophic damage to the global supply chain -- and it won’t just be one company, Huawei, destroyed,” Xu told reporters after unveiling 2019 earnings. “I don’t think the Chinese government will just watch and let Huawei be slaughtered on a chopping board. I believe the Chinese government will also take some countermeasures.”China’s biggest tech company remains in Washington’s cross-hairs even as Covid-19 spreads across the globe. The White House is reportedly considering imposing restrictions on the sale of semiconductors to Huawei by global corporations such as TSMC and Samsung Electronics Co., a move that would effectively deprive the Chinese giant of the most advanced chip technology. That would escalate already damaging restrictions on Huawei, which on Tuesday reported net profit grew 5.6% -- the slowest pace of bottom line growth in three years.“Why can’t China ban the use of American 5G chips, base stations, smartphones and other smart devices based on the same network security reasons?” Xu said, adding he couldn’t confirm reports about curbs on TSMC.Huawei had previously reported sales growth of about 19%, to 859 billion yuan ($123 billion) in 2019, roughly the same as in the previous year. And the Shenzhen-based company’s profit improved to 62.7 billion yuan. But Xu said 2019 was its most difficult year yet, when it was forced to transform its business after expansive scrutiny and sanctions from the U.S. The effort to contain Huawei -- and by extension, China -- forced the company to turn inward.The Trump administration’s campaign to get allies such as Japan and Australia to shut out Huawei gear and phones helped drive sales in the Asia-Pacific down 13.9%, though that was more than offset by a surge at home in China.In the fourth quarter alone, which was most impacted by the U.S. prohibition on Huawei selling Android phones with Google’s mobile services, the company shipped roughly 55 million devices, calculated from the difference between its September shipments update and the year’s total. Of the 240 million Huawei and Honor phones shipped, 6.9 million had fifth-generation wireless networking, an area where the company remains a tech leader.Pelosi Joins Trump in Warning Europe of Huawei’s 5G ThreatContrary to warnings from American lawmakers and diplomats, numerous European countries like the U.K. and Switzerland have opted to use Huawei’s technology in building out their 5G networks. The U.K. and Germany have both echoed U.S. concerns about how far Huawei can be trusted with key infrastructure of the future, but those have not extended to the severity of an outright ban.Huawei faces tremendous pressure in overseas smartphone markets, where the U.S. ban on its use of Google Mobile Services severely undercuts the appeal of its devices. Without the Google Play Store and third-party app ecosystem, Huawei phones simply can’t compete with similarly capable alternatives from the likes of Samsung Electronics Co. and OnePlus. The company reported flat revenue in Europe, the Middle East and Africa alongside the drop in the Asia-Pacific. Those regions were two of its major growth engines in 2018, whereas now 59% of its sales are at home in China.China’s ambitious 5G network construction projects, which started in the second half of last year, also helped Huawei weather the international storm and sustain its core businesses.Huawei Makes End-Run Around U.S. Ban by Using Its Own ChipsFounder Ren Zhengfei initially estimated that Huawei’s May 2019 blacklisting by the U.S. could wipe $30 billion off annual revenues and threaten his company’s very survival, though he has tempered that outlook more recently. Huawei mobilized a massive effort to develop in-house alternatives to American software and circuitry, while U.S. suppliers like Intel Corp. and Microsoft Corp. found ways to continue supplying Huawei vital components it needed to make its products. Huawei is also selling base stations free of American technology in another effort to bypass the U.S. ban.With no relief from U.S. sanctions in sight and the coronavirus pandemic stifling business across all industries, Huawei anticipates its most difficult year yet. Chinese smartphone sales, which the company is now particularly sensitive to, are already hurting. And its global 5G installations, for which Huawei has secured more than 90 contracts worldwide, are hitting the brakes with many countries implementing lockdowns and the global economy at a standstill.(Updates with top executive’s comments from the second paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Dividends are one of the best benefits to being a shareholder, but finding a great dividend stock is no easy task. Does Intel (INTC) have what it takes? Let's find out.
HP CEO Enrique Lores tells Yahoo Finance demand for PCs and printers have been strong as people work from home during the coronavirus pandemic.
Clorox, Darden Restaurants, Intel, Boeing and JPMorgan Chase highlighted as Zacks Bull and Bear of the Day
We see progress on Capitol Hill, where Treasury Secretary Steve Mnuchin has reportedly agreed to some oversight restrictions on a $500 billion "slush fund" to help corporations remain operational in some manner in the federal recovery effort.
The suspension of buybacks would not impact dividend payments, Intel said in a filing. Intel in October 2019 said it would repurchase $20 billion (17 billion pounds) worth of shares over the next 15 to 18 months. Intel's decision follows measures by big companies including AT&T Inc and Boeing Co , which last week announced similar plans, citing coronavirus concerns.
(Bloomberg) -- Masayoshi Son is making his biggest play yet to silence doubters. On Monday, the Japanese billionaire unveiled an unprecedented $41 billion plan to sell off assets and shore up SoftBank Group Corp.’s crumbling market value in the face of the coronavirus pandemic.SoftBank aims to sell assets to raise as much as 4.5 trillion yen ($41 billion) over the coming year to buy back stock and slash debt -- an amount equivalent to almost its entire market value last week. The scale of the endeavor surprised investors, sending the Japanese firm’s stock up 19%. Yet that’s a fraction of the capitalization the investment house has lost since its 2020 peak, underscoring persistent concerns that tumbling technology sector valuations will damage Son’s debt-laden company.The Japanese conglomerate, which also operates the $100 billion Vision Fund, is considered especially vulnerable to economic shocks given its enormous debt load and ties to unprofitable startups across the world. After Monday’s rally, it’s still down more than 40% from this year’s peak in February.The coronavirus-triggered rout has also spread to credit markets and sparked a surge in the cost of insuring debt against default -- including that of SoftBank, whose credit-default swaps touched their highest level in about a decade.Monday’s announcement appeared intended to underscore a point Son himself has made repeatedly: that SoftBank is worth far more than its current stock price thanks to holdings in industry leaders from e-commerce giant Alibaba Group Holding Ltd. to British chip designer Arm Holdings Plc and Japanese carrier arm SoftBank Corp. Its slice of Alibaba alone is worth more than $120 billion.“Son is finally doing what his investors have been asking for years and unfortunately it took an unprecedented sequence of events for him to do so,” said Justin Tang, head of Asian research at United First Partners in Singapore. “His Vision Fund ambition will have to take a backseat for now, but he will be back.”It’s unclear what SoftBank intends to sell, however. Alibaba represents its single biggest chunk of unrealized value, but Arm -- which SoftBank bought for $32 billion in 2016 -- is a worldwide leader in the chip architecture that underpins modern smartphones. SoftBank Corp., on the other hand, is a steady if unspectacular leader that generates cash to help fund Son’s global ambitions, and the group likes to use its stock as collateral for loans.“Arm is a golden egg for SoftBank, and the business will attract U.S. firms like Intel once it starts a bidding process,” said Koji Hirai, the head of M&A at advisory firm Kachitas Corp. in Tokyo.Part of the sale proceeds would go toward a new share buyback program of as much as 2 trillion yen that comes on top of previously announced repurchases. Alibaba’s stock was down more than 5% in the afternoon in Hong Kong. The Japanese firm’s domestic telecom arm, ended 3.4% lower. SoftBank spokeswoman Hiroe Kotera declined to comment on whether it would sell shares in the Chinese e-commerce giant.“There is institutional memory at SoftBank of these kinds of shocks, first dating back to the dot-com bubble,” said Kirk Boodry, an analyst at Redex Holdings who writes for Smartkarma. “There is no doubt that there will be much more bad news coming from the Vision Fund, bankruptcies and falling valuations. This is one way SoftBank can get ahead of that.”What Bloomberg Intelligence SaysSoftBank may sell some of its 26% Alibaba stake, which we believe accounts for about half its net asset value, to fulfill a $41 billion divestment pledge. The pending deconsolidation of its U.S. telecom subsidiary Sprint won’t generate any cash proceeds for SoftBank, as the transaction is an all-stock merger with T-Mobile.\- Anthea Lai, analystClick here for the researchRead more: Son’s Empire Wobbles as Credit Rout Hits SoftBank Debt LoadSon is trying to salvage his reputation as one of the world’s foremost tech investors, a name based largely on a prescient early bet on Alibaba, which grew to dominate e-commerce in the world’s No. 2 economy. But he’s struggled since to match that success, after sinking money into a string of struggling startups from Uber Technologies Inc. to WeWork and Oyo Hotels.Even before the global outbreak, WeWork’s spectacular implosion served as a catalyst for Son to temper SoftBank’s and the Vision Fund’s aggressive global bets. He urged founders to rein in excesses and focus on the bottom line, wary of a repeat of WeWork’s uninhibited expansion.Son has reason to worry. SoftBank’s exposure to cash-burning startups partly prompted S&P Global Ratings to cut its outlook on SoftBank to negative, citing also the broader market declines and the conglomerate’s initial plans for a buyback. The stock repurchase program announced Monday comes on top of a 500 billion yen plan announced just over a week ago, after activist shareholder Elliott Management Corp. called on the Japanese investment firm to boost returns.SoftBank’s Son to Pitch U.S. Investors Under Cloud of WeWork (1)SoftBank has said its financial policy is to have enough liquidity on hand to cover two years of bond repayments and focus on its loan-to-value ratio, a metric for balancing net interest-bearing debt against the value of investments. SoftBank has also said it’s curbing new investments to match the current environment and acknowledged that fundraising costs are likely to rise.It keeps a running tally of what it calculates is the value of its shares, excluding its debt. Despite Monday’s rally, that figure remains more than three times its closing price of 3,187 yen.While SoftBank’s newly unveiled asset sale and buyback plan would go some way toward assuaging concerns about its situation, the big question remains the spread of Covid-19 and its ultimate impact on both investment activity and the broader economy.“SoftBank is now trying to sell its assets as the values for those are cheap,” said Mitsushige Akino, an executive officer at Ichiyoshi Asset Management Co. in Japan. “Investment companies are supposed to purchase assets when they are cheap and sell them when they are expensive. It looks like SoftBank is doing the opposite, when they have to invest more money.”For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
(Bloomberg) -- A two-hour drive south of Amsterdam in Veldhoven, workers decked out head-to-toe in protective gear toil in vast assembly halls. Before entering the inner sanctuary of the facilities, they meticulously layer on masks, gloves and special socks. A single speck of dust or a hair can have devastating effects on production. The result of all this painstaking process is an environment that is 10,000 times more purified than outside.And as the coronavirus grips the world, it might just be the safest place to work right now.The teams belong to ASML Holding NV, which holds a de-facto monopoly on the industry of extreme ultraviolet lithography machines needed to make next-generation chips. Each cost about 150 million euros ($160 million) apiece and ship mainly to the U.S., Korea and Taiwan, where the likes of Intel Corp., Samsung Electronics Co. or Taiwan Semiconductor Manufacturing Co., known as TSMC, rely on them to make faster, cheaper and more energy efficient semiconductors.ASML manufacturing staff operate in an environment that is literally shielded from the coronavirus pandemic that has forced millions of workers around the world to isolate themselves from colleagues to slow the spread of the disease. As the rest of the Netherlands and much of the continent locks down, work in ASML’s Veldhoven clean-rooms has continued largely unhindered, potentially giving the company an edge for when corporate life returns to normal.“So far we have been able to keep our production going,” said Frits van Hout, ASML’s chief strategy officer, ASML. “The situation is of course dynamic. We encounter challenges as with every lockdown our suppliers will be affected, directly or indirectly.”Keeping DistanceLike other companies, ASML has also implemented a raft of contingency measures –from segmenting staff to drawing up plans if disaster strikes at a key supplier -- so it can keep manufacturing equipment for chip-makers around the world. Workers are split into two teams and are screened for virus symptoms via infrared thermal cameras at the entrance of the clean room in Veldhoven.Social distancing protocols are in effect, and the company has spaced out the morning and night shift to ensure the groups don’t meet, ASML said.Clean rooms are highly specialized infrastructure that’s costly to set up and maintain, making that kind of environment difficult to replicate in other industries. The biggest risk for the company lies not so much in its own operations seizing up but in a potential breakdown of its 5,000 suppliers, 790 of which provide materials and equipment that are used directly to produce the ASML systems.Besides its ultra-sanitized work environment, ASML has the benefit of making machines that are considered almost recession-proof, given its commanding lead in an industry on the cusp of another technological leap: high-speed 5G networks.On Track“Most customers want EUV and if ASML cannot deliver due to such a factor, then they know they have to wait until the next quarter because you cannot get it anywhere else,” said Marcel Achterberg, executive director of equity research at KBC Bank.The prized EUV machines are the size of a bus. Customers can order older equipment, but EUV delivers better resolution, smaller components and improved performance in the chips it produces.They’re a crucial source of revenue for ASML’s customers, too. By the end of next year, as much as half of TSMC’s revenue will depend at least partly on some EUV processes, according to Bloomberg Intelligence analyst Masahiro Wakasugi.Volume production of TSMC’s most cutting-edge 5-nanometer chips, which use EUV, is still “on track” for the first half of 2020 as previously stated by management, TSMC spokeswoman Nina Kao saidFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Intel (INTC) unveils neuromorphic computing system with an aim to accelerate computing of complex applications in a power-efficient manner.