Sterne Agee Lowers Estimates/PT, Reiterates Buy on Intel (INTC)

Sterne Agee is out with a research report this morning, where it reiterates its Buy rating on Intel Corp. INTC; it has a $24.00 price target on the name. The SA analysts noted that their checks with supply managers have lead them to believe that NBs are rebounding by 25 to 30% versus their previous estimate of 40%. They also noted that continued strength in Servers-Desktops should provide stable to better gross margin outlook for Intel. The analysts lowered Q3 EPS from $11.7B/$0.55 to $11.2B/$0.50 and F10E from $45B/$2.06 to $44B/$2.00 they also lowered their price target from $28 to $24 to account for near-term macro slowing.