Intel gave a lackluster forecast for the current quarter after manufacturing problems hampered a comeback bid, 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 — making it harder to fill orders. 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.
Intel shares fell about 5% in extended trading Thursday following the report.
For instant reaction and analysis, Bloomberg Businessweek Daily hosts Carol Massar and Tim Stenovec speak with Ivan Feinseth, Research Director and Chief Investment Officer at Tigress Financial Partners.
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