BUZZ-Street View: AI demand boosts Intel, but capacity limits loom

Reuters
2026.04.24 10:38

Intel (INTC.O) on Thursday forecast Q2 revenue above Wall St estimates, pointing to strong demand for its AI-focused server processors used in data centers

Shares up ~29% premarket, on course to open at a life-high that would surpass its peak during the 2000’s dot-com boom

CPU RENAISSANCE PLAY

Evercore ISI (“outperform,” PT: $111) says Intel stands to benefit from a CPU renaissance, as agentic and inference-driven AI workloads increase the number of CPUs required per GPU

Matt Britzman, senior equity analyst, Hargreaves Lansdown says the company’s turnaround shows how early the AI cycle remains, while recent software sell-offs look more like opportunities than a signal to step away.

“Now, the main issue seems to be in ramping up capacity to a sufficient level to meet customer demand” - Russ Mould, investment director, AJ Bell

Melius Research (“buy,” PT: $100) says INTC earnings power could extend well beyond current expectations as demand for server CPUs accelerates alongside the shift toward inference and agentic AI workloads

Intel Q1 Beats: Is the CPU Back in the AI Era?
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