Credit Suisse Maintains Outperform, PT of $32 on Intel

Credit Suisse reiterates it Outperform rating and price target of $32 per share on Intel

as it lowers estimates on concern of a lingering demand. Credit Suisse says, “The cause of INTC's 4Q negative pre is not surprising (HDD supply issues), the timing is (we expected 1Q12 but not 4Q11 issues). Key concern is whether or not a supply issue in HDDs is masking larger demand issues due to macro weakness. INTC's commentary around utilization plans remaining unchanged is consistent with a view that this is supply only; client conversations clearly focused on "the next shoe to drop". … We lower our 2011 revs/EPS estimates to $53.8bn/$2.36 from $54.8bn/$2.45 (Street $54.7bn/$2.45) and lower 2012 revs/EPS to $54.4bn/$2.40 from $56.8bn/$2.65 (Street $57.4bn/$2.56).” INTC closed at $24 per share on Monday.