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Actionable news in INTC: Intel Corporation,

Intel, Bank of America and Citigroup: Doug Kass' Views By Doug Kass | Apr 25, 2016 | 01:00 AM EDT

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Here's my take:

  • The company's Data Center Group missed conservative expectations for sales growth and lowered second-quarter PC-unit projections.
  • Intel's 54 cents of quarterly earnings per share beat analysts' 48-cent consensus estimate, but there was less to that headline result than meets the eye. After all, EPS benefited from a much lower effective tax rate.
  • A new round of 12,000 planned layoffs is leading to another $1+ billion restructuring charge.
  • Management guided second-quarter sales growth as slightly negative.
  • A replenishment of PC inventory during the first quarter means 2016's second half will remain challenging, and Intel's client computing group (which accounts for more than 50% of sales) could continue to suffer.
  • Executives cut PC-growth forecasts from a mid-single-digit decline to a high-single-digit one. In the face of lower volume projections, management also reduced profit-margin guidance.

The bottom line: I view INTC as an uninspiring stock with few catalysts for price gains during 2016's remainder. (Click here to read Jim "El Capitan" Cramer's take.)

Position: None

Financials made intraday highs early in the rally, but are now showing an absence of follow-through.

Although the S&P 500 dipped and then rallied back, that's been accompanied by a slight drop in bank stocks.

For instance, Bank of America (BAC - Get Report) peaked at $14.79, but was at $14.70 at...


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