INTC EPS review

Intel Corporation INTC had announced its quarterly earnings results on Thursday, reporting a $0.74 EPS for the quarter. Shares of Intel are currently trading at 30.11 in Friday morning's trading session. Equities analysts took a further look into Intel's EPS for 2016. Deutsche Bank maintained a Buy rating and a $38 PT for INTC "With opex expected to increase ~$0.3b q/q due to an extra week and the inclusion of Altera, the mid-pt of guidance implies EPS of $0.48, vs. DBe/Street at $0.48/$0.50. We are raising our rev/EPS ests for 1Q from $13.9b/$0.48 to $14.1b/$0.48," the firm commented. Macquarie Capital issued a Neutral rating with a PT of $32.75 for Intel "We are updating our CY16 revenue and EPS estimates from $59.87 billion and 2.52 percent to $59.65 billion and $2.49, and our CY17 revenue and EPS estimates from $61.54 billion and $2.78 to $62.32 billion and $2.77," the firm noted. FBR&Co. issued an Outperform rating for INTC with a PT of $38 The firm sees Intel's guidance as "ho-hum," also noting that the company's guidance is "likely to fare better than most this quarter." However, FBR&Co. did like Intel's lowered capex which had a $500 million to $9.5 billion estimate for 2016. Intel's EPS beat is driven by its client computing group, according to FBR&Co. "We note the company exit from the handset market could provide meaningful upside to EPS (as much as $0.85),"the firm commented. Credit Suisse maintained their Outperform rating and a $40 PT for INTC Credit Suisse noted that the bottom line was that Intel reported "C4Q Rev/EPS ABOVE Street and guided C1Q Rev/EPS adj. for ALTR IN-LINE with Street albeit BELOW some bullish expectations." "We are maintaining our CY16 EPS of $2.50 but Street at $2.35 is likely to move higher, which relative to peers in coming weeks is likely to be a positive stand-out–in addition, we are initiating our CY17 EPS estimate of $2.85," the firm commented. Stifel maintained a Buy rating with a PT of $32.74 for Intel The firm sees INTC shares as a "defensive investment" for the traders during this volatile start to the year. Stifel also noted that one-time charges which were related to the Altera acquisition lowered GAAP EPS estimates. INTC's GAAP EPS of $0.74 was well above the firm's estimate of $0.60 and the Street estimate of $0.63 The company's GAAP EPS was "driven by revenue, GM and taxation." "GAAP GM of 64.3 percent was 2.3 points above the midpoint of expectation, and above our estimate of 62.0 percent, with the difference attributed to lower platform costs, factory startup costs and non-production costs," the firm noted. Summit Research maintained a Buy rating with a PT of $40 for INTC based on 16X F2016 EPS of $2.50 Intel's C4Q15 had "beat on top line and bottom line" results. "For C4Q15, Intel's implied EPS guide was $0.63, while the revenue had been guided to $14.8B. Therefore, street estimates for revenue/EPS were at $14.8B/$0.63. Intel on the other hand, printed $14.9B/$0.74," the firm commented.