What's Going On With Intel Stock?

Intel Corp INTC declined 3% to $22.74 Tuesday afternoon as geopolitical tensions escalated in the Middle East, specifically following Iran’s missile attack on Israel.

Tuesday’s attack marked a significant development in the ongoing regional conflict, raising concerns among investors about the potential economic implications for global markets.

Additionally, tens of thousands of dockworkers have gone on strike, potentially affecting holiday shopping and causing concern for the broader market. The strike began after the International Longshoremen's Association and the U.S. Maritime Alliance failed to agree on a new labor contract.

What Happened: The missile strike, which saw between 100 to 200 missiles launched from Iran toward Israel, came in the wake of the U.S. government warning of imminent threats in the region.

Why It Matters: Intel, a leading semiconductor manufacturer with a substantial market presence, is sensitive to geopolitical events that can disrupt supply chains and impact global demand for technology products.

Read Also: East Coast Dockworkers Strike: How Labor Dispute Impacts Economy, Logistics Companies

As tensions rise, companies like Intel may face challenges related to production and distribution, particularly if military actions lead to increased oil prices and broader economic instability.

What Else: Market analysts suggest that the heightened geopolitical risks could stifle investment in growth-oriented technology stocks like Intel. The escalating situation could result in supply chain disruptions, particularly if sanctions or retaliatory measures are enacted, further complicating Intel’s operational landscape.

Additionally, Intel’s stock price may be influenced by the broader implications of U.S. military involvement in the region. President Biden and senior national security officials are reportedly discussing responses to the escalating conflict, a move that could have far-reaching consequences on U.S. economic policy and international relations.

As tensions continue to mount, investors may become wary of the potential for prolonged instability, which could detract from the anticipated recovery in the tech sector.

Read Also: Bitcoin Plunges Below $62K As Iran Launches Missile Attack On Israel

Is INTC A Good Stock To Buy?

An investor can make a few decisions when deciding whether a stock is a good buy. In addition to valuation metrics and price action which you can find on Benzinga's quote pages – like Intel‘s page for example – there are factors like whether or not a company pays a dividend or buys a large portion of its stock each quarter.

These are known as capital allocation programs. Intel does pay a dividend, which yields 1.41% per year as of the closing price on Oct. 1, 2024. Feel free to search Benzinga's dividend calendar for the next company that is due to pay a dividend and determine what kind of yield you can earn for holding a share of the company.

For example, if you're looking to earn an annualized return of 13.44%, you'll need to buy a share of Saba Cap Inc & Opps by the Oct. 9, 2024. Once done, you can expect to receive a nominal payout of $0.09 on Oct. 31, 2024.

Buyback programs are obviously different and highly variable. A company can approve a buyback program and purchase shares as it sees fit over the course of time in which the buyback was authorized. Looking through the latest news on Intel will often yield whether or not the company has approved a buyback program recently. Buyback programs usually serve as a support for share prices, serving as a backstop for demand.

According to data from Benzinga Pro, INTC has a 52-week high of $51.28 and a 52-week low of $18.51.