Watch Carol and Tim LIVE every day on YouTube: http://bit.ly/3vTiACF. Intel Corp. gave a lackluster forecast for the current quarter because supply shortages are making it harder to meet customer demand, a disappointment for investors who anticipated more of a boost from new products.
First-quarter revenue will be $11.7 billion to $12.7 billion, the company said in a statement Thursday. The midpoint of that range fell short of the $12.6 billion estimated by analysts. The company expects to break even in earnings per share, excluding certain items. Wall Street had projected a profit of 8 cents a share.
Intel is struggling with its manufacturing yields — the percentage of usable chips coming out of its factories — hampering a comeback bid. The once-dominant semiconductor company has spent years trying to restore its technological edge and recover from market share losses, and this is one more setback.
Demand is “quite strong,” and the company is working hard to fix its manufacturing problems, Chief Executive Officer Lip-Bu Tan said in an interview. But Intel used up much of its inventory in the fourth quarter, he said.
Today's show features:
- Ivan Feinseth, Research Director and Chief Investment Officer at Tigress Financial Partners, on quarterly earnings from Intel
- Bloomberg Businessweek Senior Reporter Max Chafkin on Tesla CEO Elon Musk’s visit to the World Economic Forum
- Joe Feldman, Senior Managing Director and Assistant Director of Research at Telsey Advisory Group, on consumer spending trends to watch
- Bloomberg Meteorologist Craig Allen on the massive snow storm set to sweep across the US
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