Earnings Review - Intel

LONDON, January 22, 2015 /PRNewswire/ --

Investor-Edge.com has issued free earnings review on Intel Corp. (NASDAQ: INTC). On January 15, 2015, the company reported its Q4 FY14 and full-year FY14 financial results (period ended December 27, 2014). Click on http://get.Investor-Edge.com/pdf/?c=Intel&d=22-Jan-2015&s=INTC to read our free earnings review on Intel Corp. (Intel). The company's net revenue improved 6% Y-o-Y, both in the reported quarter and in FY14. Further, Intel's net income in Q4 FY14 and FY14 grew 39% Y-o-Y and 22% Y-o-Y, respectively. CEO of Intel, Brian Krzanich, said that the fourth quarter was a strong finish to a record year FY14. Our free coverage report can be accessed at:

http://get.Investor-Edge.com/pdf/?c=Intel&d=22-Jan-2015&s=INTC

Earnings Overview 

During Q4 FY14, Intel's net revenue increased to $14.72 billion from $13.83 billion in Q4 FY13. Analysts from Bloomberg had also expected net revenue of $14.72 billion in Q4 FY14. Intel's PC Client Group and Data Center Group business units' revenue improved 3% Y-o-Y and 25% Y-o-Y, respectively, during Q4 FY14. Further, the Internet of Things Group's revenue for the reported quarter increased 10% Y-o-Y. However, Software and services operating segments revenue fell 6% Y-o-Y in Q4 FY14. Additionally, the company's Mobile and Communications Group's negative revenue of $6 million in Q4 FY14 was in-line with expectations. The free research on INTC can be downloaded as in PDF format at:

http://get.Investor-Edge.com/pdf/?c=Intel&d=22-Jan-2015&s=INTC

In Q4 FY14, Intel's gross margin improved 3.4 percentage points to 65.4% from 62.0% in Q4 FY13. The company's operating income in Q4 FY14 surged 25% Y-o-Y to $4.45 billion. Intel's net income increased to $3.66 billion, or $0.74 per diluted share, in Q4 FY14, from $2.63 billion, or $0.51 per diluted share, in Q4 FY13. Bloomberg analysts had expected the company to report net income of $3.31 billion, or $0.66 per diluted share, in Q4 FY14. During the reported quarter, the company's cash from operations was approximately at $5.8 billion, and it paid a total of $1.1 billion in dividends and repurchased 115 million shares for about $4.0 billion.

For FY14, Intel's net revenue was $55.87 billion compared to $52.71 billion in FY13. Analysts from Bloomberg had expected net revenue of $55.87 billion in FY14. Intel's PC Client Group and Data Center Group business units' revenue improved 4% Y-o-Y and 18% Y-o-Y, respectively, in FY14. Furthermore, the Internet of Things Group and Software and services operating segments' revenue also improved 19% Y-o-Y and 1% Y-o-Y, respectively, in FY14. However, in FY14, Mobile and Communications Group revenue segments revenue declined 85% Y-o-Y. Sign up and read the free analyst's notes on INTC at:

http://get.Investor-Edge.com/pdf/?c=Intel&d=22-Jan-2015&s=INTC

During FY14, Intel's gross margin improved 3.9 percentage points to 63.7% from 59.8% in FY13. The company's operating income during FY14 surged 25% Y-o-Y to $15.3 billion, while its net income increased to $11.70 billion, or $2.31 per diluted share, from $9.62 billion, or $1.89 per diluted share, in FY13. For FY14, analysts from Bloomberg had expected the company to report net income of $11.37 billion, or $2.24 per diluted share. For the full year, Intel saw cash from operations at approximately $20.4 billion, and the company paid $4.4 billion in dividends and used $10.8 billion to repurchase 332 million shares of stock.

Mr. Krzanich stated that in Q4 FY14 the company met or exceeded several important goals such as reinvigorating its PC business, growing its Data Center business, establishing a footprint in tablets, and driving growth and innovation in new areas. He asserted that the company will improve its profitability in mobile, and keep its focus on the next wave of computing.

For Q1 FY15, Intel management expects revenue of $13.7 billion, plus or minus $500 million, with gross margin of 60%, plus or minus a couple of percentage points. In FY15, the company's management anticipates revenue to grow in the mid-single digit percentage points with gross margin of 62%, plus or minus a couple of percentage points. Visit Investor-Edge and access the latest research on INTC at:

http://get.Investor-Edge.com/pdf/?c=Intel&d=22-Jan-2015&s=INTC

Stock Performance 

On the day following the earnings release, January 16, 2015, Intel's stock ended the session at $36.45, up 0.72%. Further, on the last close, Wednesday, January 21, 2015, it finished at $36.48, up 1.08% for the day. The stock vacillated between $35.77 and $36.68 during the session. A total of 27.43 million shares were traded which was below its three months average volume of 30.02 million shares. Over the previous three trading sessions and last three months, the company's shares have advanced 0.80% and 11.87%, respectively. Further, the stock has rallied 42.56% in the past one year. Shares in Intel are trading above their 50-day and 200-day moving averages of $36.07 and $32.38, respectively. Furthermore, the stock traded at a PE ratio of 15.87 and has a Relative Strength Index (RSI) of 47.08.

Sneak Peek to Corporate Insider Trading 

In the last one month Intel has reported only one insider transaction to the U.S. Securities and Exchange Commission (SEC). On December 26, 2014, Ambassador Charlene Barshefsky, Director at Intel, bought 666 shares of the company, at a price of $37.55 per share, aggregating to a total value of $25,000. Complimentary in-depth research on INTC is available at:

http://get.Investor-Edge.com/pdf/?c=Intel&d=22-Jan-2015&s=INTC

About Investor-Edge.com 

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