Intel (INTC) 'Channel Stuffing' Weakness Creates Buying Opportunity, Jefferies Says

Jefferies analyst Mark Lipacis reiterated a Buy rating and $45 price target on Intel (NASDAQ: INTC) saying weakness on suggestions the company "stuffed the channel" creates a buying opportunity.

Liapacis comments, "The difference between INTC's YY PC-MPU growth rate (15%) and IDC+Gartner (-1% to -2%) has lead some to believe that INTC stuffed 12 million MPUs harum-scarum into the channel. We think the difference is due to share gains from AMD (3.3 mu), growth in detachable form factors not counted by IDC (1.9 mu), with the balance (6.6 mu) being whitebox growth and inventory build of ~1 week. We view recent weakness as a particular buying opportunity."

For an analyst ratings summary and ratings history on Intel click here. For more ratings news on Intel click here.

Shares of Intel closed at $32.61 yesterday.

You May Also Be Interested In

• Mizuho on Intel (INTC): "Just when you thought it could not get any worse..."
• AstraZeneca (AZN) shares jump on much stronger Q1 top and bottom line
• Intel (INTC) tops Q1 EPS by 3c; misses on guidance