Intel "overweight," target price raised

16.05.08 - Lehman Brothers

NEW YORK, May 16 (newratings.com) - Analyst Tim Luke of Lehman Brothers maintains his "overweight" rating on Intel Corp (INTC). The target price has been raised from $24 to $26.

In a research note published yesterday, the analyst mentions that the company?s notebook and server segments are expected to remain robust despite the challenging global macro environment. Intel?s 2009 margins are expected to be boosted by the bright prospects of Montevina in late-2Q08 and Atom in 3Q-4Q08, the analyst says. Server shipments by Nehalem in 4Q08 and the expected exit from NAND in 2009 are also likely to increase Intel's margins, the analyst adds.