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Intel Lowers 4th Quarter Guidance on Supply Constraints (INTC)

Shares of Intel ( INTC ) are indicating to open down nearly 4% following news the company is trimming its fourth quarter outlook.

The semiconductor giant now expects fourth-quarter revenue to be $13.7 billion, plus or minus $300 million, on both a GAAP and non-GAAP basis, lower than the previous expectation of $14.7 billion, plus or minus $500 million. The shortfall is being attributed to hard disk drive supply shortages.

Fourth-quarter gross margins are now expected to be 64.5 percent, plus or minus a couple of percentage points, lower than the previous expectation of 65 percent, plus or minus a couple of percentage points.

The Bottom Line

Despite this news, we still think shares of Intel ( INTC ) are an attractive option for dividend investors, especially with the company's recent approach to consistent dividend increases. Shares of Intel ( INTC ) have a 3.36% dividend yield, based on Friday's closing stock price of $25.01.

Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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