In 2024, the tech sector has been rocked by one terrifying word: “Layoffs.” The layoffs have been widespread and massive. However, one company that doesn’t seem to be registering on that list—though it did do some layoffs elsewhere in the organization—was Intel (NASDAQ:INTC), whose 2023 was jam-packed with hirings. That didn’t win it any points with shareholders, as the chip maker was down nearly 2% in Wednesday afternoon’s trading.
In 2023, Intel hired 600 people. That may not sound like much for a major multinational operation, but it’s actually the highest number for a single year that Intel has posted in at least the last 20 years. That potentially makes it the largest single-year hiring count of the 21st century. Moreover, Intel focused a lot of its hiring in New Mexico, with around 400 of those 600 getting jobs therein, or roughly two out of every three hires.
This makes perfect sense, as in January of 2024, Intel opened its Fab 9 operation in New Mexico and likely needed to staff the whole operation with fresh hires. Further, the reports note that Intel dropped about $300 million with local companies, again, likely connected heavily with the Fab 9 opening.
Intel Takes a Snub from Microsoft
As noted previously, Intel has proven remarkably resistant to layoffs, which is impressive given the sheer quantity of tech-sector layoffs seen in the last few months. Indeed, a list from TechCrunch features Intel absolutely nowhere therein, and that list featured a whole lot of tech sector layoffs. However, Intel just took a bit of a snub from Microsoft (NASDAQ:MSFT), as it was revealed that the new Surface tablets from Microsoft would be heavily reliant on Qualcomm (NASDAQ:QCOM) Snapdragon processors.
Intel’s processors, at last report, aren’t quite ready for that level of performance, though there are plenty of signs they’re getting there.
Is Intel a Buy, Hold, or Sell?
Turning to Wall Street, analysts have a Hold consensus rating on INTC stock based on three Buys, 26 Holds, and three Sells assigned in the past three months, as indicated by the graphic below. After a 7.2% rally in its share price over the past year, the average INTC price target of $37.87 per share implies 21.44% upside potential.
Is INTC the Right Stock to Buy for Passive Income?
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