Intel Corp.’s stock rallied to close higher in the last minutes of trading Thursday after the chip maker released quarterly results and an outlook that topped Wall Street expectations.
shares rallied to close up 6.5% at $62.46, slipping 0.4% in the extended session Thursday.
The chip maker reported fourth-quarter net income of $5.86 billion, or $1.42 a share, compared with $6.91 billion, or $1.58 a share, in the year-ago period. After adjusting for restructuring and acquisition-related costs, Intel reported earnings of $1.52 a share, flat from a year ago.
Revenue fell to $19.98 billion from $20.21 billion in the year-ago quarter.
Analysts surveyed by FactSet had estimated adjusted earnings of $1.11 a share on revenue of $17.53 billion, while Intel had forecast adjusted earnings of $1.10 a share on revenue of approximately $17.4 billion.
Intel’s data-center group saw revenue decline 16% to $6.1 billion, while analysts expected $5.48 billion. Intel’s largest segment — client-computing, the traditional PC group — rose 9% to $10.9 billion with analysts expecting $9.57 billion.
For the first quarter, Intel forecast adjusted revenue of $17.5 billion and adjusted earnings of $1.10 a share. Analysts on average expect first-quarter adjusted earnings of 93 cents a share on revenue of $16.08 billion.
Last week, Intel announced that Pat Gelsinger was returning to the company to take over the CEO position from Bob Swan.
Over the past 12 months, Intel shares have gained 3%, while the Dow Jones Industrial Average
— which counts Intel as a component — is up 7%, the S&P 500 index
is up 16%, the tech-heavy Nasdaq Composite Index
is up 44%, and the PHLX Semiconductor Index
is up 64%.