Semiconductor analysts say that Intel needs a decisive new strategy -- and that can only come from a permanent CEO as the chip maker gets ready to report earnings. Investors hope to get an update about the leadership decision timeline and Intel's businesses after the market close.
In December, Intel announced its CEO, Pat Gelsinger, would retire effective immediately and it was searching for a permanent replacement. For the interim, Intel executives David Zinsner and Michelle Johnston Holthaus would serve as co-CEOs.
The Wall Street consensus estimates is for the company to report December quarter revenue of $13.8 billion with adjusted earnings per share of 12 cents. Analysts' estimates for the current quarter's revenue is $12.9 billion with earnings per share of 9 cents.
On Monday, Bernstein analyst Stacy Rasgon reiterated his Market Perform rating on Intel, emphasizing the company needed to settle on a new CEO.
"It would seem to us that the plans of the (unknown) future CEO and the Board of Directors would matter much more than whether PCs or servers beat or miss [earnings]," he wrote.
Intel shares have declined 55% over the past 12 months, compared with a 6% gain for the iShares Semiconductor ETF.
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