Intel stock was down in early market trading on Monday following the big changes to its management team announced last week. As of 1 pm EDT, the stock was down 1.36% at $30.14.
Stock slipping after management change
Intel announced last week that President Renee James, who has been with the firm for the last 25 years, will quit in January 2016 to become CEO for another company, the name of which has been kept secret. Also, the chip maker announced that Arvind Sodhani, president of the company’s mergers and acquisition arm Intel Capital, and who has been with the company for the last 35 years, will retire in January.
Intel CEO Brian Krzanich believes that a change in the management will help the chip maker to “become more efficient in order to deliver the benefits of our strategy even faster than before.”
Following the company’s recent move, TheStreet Ratings team rated the chip maker a Buy with a score of B+. Many analysts have come out with their rating in recent weeks. Analysts at FBR & Co. lowered the price target on the chip maker from $40.00 to $38.00 in a note issued last week. The analysts gave an Outperform rating to Intel. Pacific Crest analysts reiterated a Buy rating on the firm with a price target of $40.00, in a note issued last Tuesday. Analysts at Deutsche Bank, in a note last Sunday, reiterated a Buy rating on Intel. In a note on June 26th, Goldman Sachs reiterated a Sell rating on the stock. Analysts at Jefferies Group reduced their price target on the chip maker from $48.00 to $45.00, but maintained their Buy rating in a research note on June 26th. Presently, Intel has a consensus rating of Hold, and an average price target of $36.18.
Intel Compute Stick in India
In separate news, Intel unveiled its Compute Stick mini-PC in India today. The Windows 8.1 version of the device is available on e-commerce site Flipkart at Rs. 9,999 (approx. $167). The other Ubuntu-based variant is still not available, and there is no information on its pricing or timing of availability. Intel Compute Stick is a mini-computer that connects to an HDMI port, and was unveiled by the chip maker at the CES 2015.
On the launch, Director of Sales and Marketing – Intel South Asia, Rajiv Bhalla, said, “Intel continues to look for great ways to deliver new product opportunities for our end users and channel partners.”