Intel Misses Wall Street Earnings and Revenue Estimates; Stock Up Slightly

Leading global semiconductor manufacturer

released its fiscal first-quarter earnings estimates after the closing bell on Tuesday. Despite missing both earnings and revenue estimates, the stock was trading very slightly higher in the after-hours to $21.95. During regular trading, INTC rose 2.57 percent and closed at $21.93. The stock has been in a steep downtrend over the last year, falling around 22 percent, as global PC shipments have registered significant declines. For the first-quarter, Intel reported net income of $2.05 billion or $0.40 per share, versus $2.74 billion or $0.53 per share, in last year's corresponding period. This missed Wall Street analysts' consensus EPS estimates of $0.41 by a penny. Net revenue in the period was down to $12.58 billion from $12.91 billion in last year's first-quarter. This also missed analysts' consensus revenue estimates of $12.61 billion. The latest quarter results for Intel underline some of the secular headwinds facing the PC industry. Although the chip-maker has exposure to the rapidly growing mobile market, slowing PC sales can be seen in the lack of top-line growth at the Santa Clara-based tech company. Looking ahead to fiscal Q2, Intel said that it expects revenue of $12.9 billion, plus or minus $500 million. This compares to analysts' consensus revenue estimates of $12.87 million for the second-quarter. For the full-year, Intel reiterated its revenue outlook calling for low single-digit percentage sales growth. Year-to-date, Intel shares have risen around six percent, moderately underperforming the major averages.