Citi cuts Intel target, opens ‘positive catalyst watch’

Citi analyst Christopher Danely lowered the firm’s price target on Intel to $40 from $47.50 and keeps a Neutral rating on the shares. The firm also opened a “30-day positive catalyst watch” on the shares. Intel shares are down 29% year-to-date and is experiencing negative sentiment due to the foundry businesses losses, the analyst tells investors in a research note. However, the firm says that given the positive March notebook data of a 44% month-over-month increase, there is upside to consensus estimates. Citi expects the stock to trade higher as Intel derives roughly 31% of revenue from notebook CPUs.