Intel Corp (NASDAQ:INTC) shares dropped sharply after the company announced on Thursday disappointing second-quarter guidance.

The announcement came amid an exciting earnings season. Here are some key analyst takeaways.

Rosenblatt Securities On Intel

Analyst Kevin Cassidy maintained a Sell rating, while reducing the price target from $18 to $14.

Intel reported first-quarter revenue of $12.7 billion, down 11% sequentially and 1% year-on-year, although it beat consensus of $12.2 billion, Cassidy said in a note. Management expressed concern, however, that the beat was driven by "customers purchasing ahead of potential tariffs," which could impact demand in the second quarter, he added.

The company guided to second-quarter revenue of $11.8 billion at the mid-point, significantly missing consensus estimate of $12.8 billion, the analyst stated. "While coming into the year, growth seemed possible, Management is now seeing an increasingly uncertain economic landscape," he further wrote.

JPMorgan On Intel

Analyst Harlan Sur reiterated an Underweight rating, while cutting the price target from $23 to $20.

While Intel reported its quarterly revenues, margins and earnings ahead of expectations, this was due to a "pull-forward in demand ahead of potential tariffs/trade-related dynamics," Sur said. Management guided to a 7% sequential decline in revenues in the second quarter, worse than consensus expectations of 5% growth, he added.

An uncertain macro environment due to tariff and trade dynamics puts Intel's TAM (total addressable market) growth outlooks at risk and could impact the company's performance in the seasonally stronger back half of the year, the analyst stated.

"Intel should see a modest uplift in gross margins next year as it starts to move wafers in-house with 70% of Panther Lake logic silicon produced in-house," he further wrote. New CEO, Lip-Bu Tan, highlighted several new strategic initiatives including creating a flatter/leaner leadership structure in efforts to drive more costs out of the business and improve FCF generation.

Check out other analyst stock ratings.

BofA Securities On Intel

Analyst Vivek Arya reaffirmed a Neutral rating and price target of $23.

Intel’s new CEO is "taking the right actions re focusing back on innovation, pruning costs, removing mgmt. layers etc," Arya said. He added, however, that the company's large size, unprofitable manufacturing, stiff competition from Advanced Micro Devices Inc (NASDAQ:AMD), Taiwan Semiconductor Manufacturing Co Ltd (NYSE:TSM), NVIDIA Corp (NASDAQ: NVDA) and Arm Holdings (NASDAQ:ARM) make it more challenging to "turn things around in the next few years."

"The tariff environment adds further near-term headwinds," the analyst wrote. Intel could face continued gross margin headwinds through 2025 and 2026, he further stated.

Benchmark On Intel

Analyst Cody Acree reiterated a Hold rating on the stock.

Intel's quarterly earnings came in at 13 cents per share, coming in ahead of Street expectations by 12 cents per share, Acree said. The company guided to revenue of $11.2 billion to $12.4 billion, down 2% to 12% sequentially, below the consensus estimates, he added.

Intel expects customer activity to slow going ahead, driven by rising tariff and regulatory uncertainty as well as heightened risk of recession, the analyst stated. CEO Tan's long-term strategy is "likely to take at least several quarters before Intel's competitive position is even beginning to improve," he further wrote.

Cantor Fitzgerald On Intel

Analyst Quinn Bolton maintained a Hold rating on the stock.

Intel reported strong results but guided to a decline in second-quarter revenues, Bolton said. "The outperformance in 1Q25 was largely attributed to order pull ins ahead of tariffs along with stronger than anticipated demand for the company’s Raptor Lake products," he added.

Management expects tariff risks to weigh on demand going ahead, the analyst stated. Due to this management gave a "wider than usual guidance range for 2Q25 ($11.2-$12.4BN)," he further wrote.

INTL Price Action: Shares of Intel had declined by 6.91% to $20.01 at the time of publication on Friday.

Read More:
• Intel Weighs Taiwan Semiconductor Partnership To Boost Chip Game

Photo: Tada Images via Shutterstock