Why Intel Stock Plunged 28% in August
Shares of Intel (NASDAQ: INTC) took a dive last month primarily due to a disastrous second-quarter earnings report that included subpar results, disappointing guidance, the elimination of its dividend, and a restructuring plan that includes laying off at least 15% of its workforce.
The news undermined any hope that Intel was making progress on what was already supposed to be a turnaround. Later in the month, the company lost a key director, who dismissed the company's slow-footed approach to the chip sector and said the company was unwilling to take risks. On the last day of the month, Intel got a reprieve after Bloomberg reported that the company was looking into potential strategic options, including separating the manufacturing business from the core chip-design operation.
According to data from S&P Global Market Intelligence, the stock finished August down 28.2%. You can see its performance in the chart below.
Source Fool.com
Intel Corp. Stock
Our community is currently high on Intel Corp. with 46 Buy predictions and 25 Sell predictions.
On the other hand, the target price of 74 € is below the current price of 83.54 € for Intel Corp., so the potential is actually -11.42%.
