Why Intel Stock Wilted on Wednesday
(NASDAQ: INTC) stock took it on the chin Wednesday following the company's retreat from a deal to acquire an Israel-based peer.
The move came after the company failed, "in a timely manner," to secure regulatory approval for the $5.4 billion arrangement from regulators in China. Investors were obviously disappointed that Intel won't be bulking up with the new asset, as they traded the stock down by nearly 4% on the news.
In separate press releases, Intel and its target, chipmaker Tower Semiconductor (NASDAQ: TSEM), announced that Intel was pulling out of the deal. This will trigger a hefty $353 million termination fee that Intel must pay to Tower, likely another reason for the negative investor reaction.
Source Fool.com
Intel Corp. Stock
€87.67
0.300%
Currently there is a rather positive sentiment for Intel Corp. with 46 Buy predictions and 24 Sell predictions.
However, we have a potential of -20.16% for Intel Corp. as the target price of 70 € is below the current price of 87.67 €.
