Intel Stock Keeps Climbing Amid Takeover Talk

Intel's stock price has been on a rollercoaster ride lately, with shares surging on rumors of a potential takeover. The semiconductor giant's shares have risen sharply in recent weeks, with the stock up more than 2% on Tuesday afternoon, following a 9% gain on Friday. This recent rally comes on the heels of a report from SemiAccurate that discussed a mystery company said to be interested in making an offer for the chip maker. While the identity of the mystery company remains unknown, MarketWatch ran down how fellow semiconductor companies didn't seem to make sense as potential acquirers of Intel.

One report from Bloomberg News said that government officials had been interested in a possible merger between Intel and GlobalFoundries Inc. (GFS). However, Elon Musk and SpaceX were the mystery names detailed in the paid version of the story, according to Bernstein analyst Stacy Rasgon, who poured cold water on any takeover speculation. "We aren't holding our breath for either of these," Rasgon said in his note to clients late Monday. On the Musk front, he wrote that he's "skeptical of the viability," though he doesn't doubt SemiAccurate's sourcing. As for the GlobalFoundries possibility, he can see why Bloomberg said the government treated the idea as more of a "thought exercise."

Intel's stock price surge can be attributed to several factors, including the company's strategic pivot and recent investments in its foundry services. Intel has been investing heavily in its internal capabilities, earmarking nearly $240 billion for tech development, with a focus on building and upgrading fabs abroad and in the US, including 2 new factories in Ohio and Arizona. Using CB Insights data, we uncovered 5 of Intel's most important strategic priorities highlighted by its recent acquisitions, investments, and partnerships. We then categorized companies by their business relationships with Intel across these priorities. Artificial intelligence Autonomous driving Cloud computing & connectivity Cybersecurity Semiconductors



Intel's stock price forecast for December 2024 shows a potential increase of 24.6% from the previous month's close. The forecast for January 2025 indicates a further gain of 4.9%, with the stock expected to close the month at $17.26. February 2025 is expected to see a slight increase, with the stock closing the month at $17.89. The long-term forecast suggests that Intel's stock price could reach $54.02 by 2028, with a potential high of $70.26 in 2026.



Analysts have mixed opinions on Intel's stock prospects, with some recommending a hold while others see potential in the company's foundry business. Bernstein analyst Stacy Rasgon, for example, recommends avoiding Intel's stock, stating that "it doesn't feel like a long either." However, HSBC analyst Frank Lee upgraded Intel's stock to a hold from a reduce, citing the company's recent gains and the potential for a turnaround in its business.

Intel's stock price surge is driven by a combination of factors, including takeover rumors, strategic investments, and a potential turnaround in the company's business. While some analysts remain cautious, others see potential in the company's foundry business and the strategic importance of semiconductors in the global economy. The ultimate impact of these factors on Intel's stock price remains to be seen, but the company's recent gains indicate that investors are optimistic about its prospects.