Shrish - Massimo analyst Srivastava (Ambrish Srivastava) said: "the biggest reason we change our idea, we believe that Intel will eventually solve the problems of operation mode in its business model / problem, such as whether is in the allocation of capital, the acquisition of behavior, also is to simply keep its mode of operation is lack of financial discipline. We found that, compared with our group and even more extensive investment, the companysharesMore attractive."
Srivastava raised the target price of Intel stock from $37 to $58, 31% higher than last Friday's closing price. He expects the company's operating profit next year to rise from 28% this year to 29.2%.
He also pointed out that Intel stock is priced according to free cash flow, about 7% lower than other companies in the same industry.
As of Friday, Intel shares rose 22%, while the standard & Poor's 500 index rose by 15%.