Intel "buy," target price reduced - update

17.01.08 - Davenport & Co.

NEW YORK, January 17 (newratings.com) - Analysts at Davenport & Company maintain their "buy" rating on Intel Corporation (INTC), while reducing their estimates for the company. The target price has been reduced from $32 to $28.

In a research note published yesterday, the analysts mention that the company has posted its F4Q07 GAAP net income short of the estimates and the consensus due to higher-than-expected restructuring charges associated with the upcoming sale of its NOR Flash business. Intel?s revenues were short of the estimates due to lower-than-anticipated revenues from the NAND flash business, the analysts say. The company has guided to lower-than-expected revenues for F1Q08 due to slowdown in the US economy, Davenport & Company adds. The EPS estimate for FY08 has been reduced from $1.51 to $1.46.