BofA downgrades Intel to Underperform after ‘too far, too fast’ rally

As previously reported, BofA downgraded Intel (INTC) to Underperform from Neutral with an unchanged price target of $34. The recent $80B jump in Intel’s market cap more than reflects its improved balance sheet and external foundry potential, while the competitive outlook remains challenged with “no discernible AI portfolio/strategy,” uncompetitive server CPU, and less flexibility now than before in divesting loss-making manufacturing, argues the analyst, who says the stock has come “too far, too fast” when considering the company’s still-challenged fundamentals.