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Intel figures expected to be huge

by on15 January 2015

Best since 2003

Chipzilla is expected to report some of its best results since since 2003

Analysts expect to see Intel report earnings-per-share of $0.66 on sales of $14.7 billion, according to FactSet. That would be a 6.3 percent jump.

For Intel, 2014 was a banner year. The stock surged some 40 percent. Much of the enthusiasm was because of the PC market, which didn't collapse as some expected, but instead remained basically flat until people realised that their tablets were pointless and they needed a new PC.

Earlier this week, IDC reported that global PC shipments fell 2.4 percent year over year in the fourth quarter, leading to an overall decline in 2014 of 2.1 percent.

For its part, Gartner reported a fourth-quarter increase of 1 percent and a slight decline for the year. Analysts at the research firm noted that the PC market is "quietly stabilizing."

Intel’s PC business accounts for about 60 percent of its sales. The relative stability in the PC market last year was due, in part, to Microsoft's ending support for its Windows XP operating system, prompting companies to upgrade their computers.

For next year Intel might make a bit of cash on the release of Windows 10 as those who avoided Windows 8 buy new PCs.

In the fourth quarter, Wall Street believes sales in Intel's PC Client Group clocked in at $9.2 billion, which would mean a 7.5 percent jump year over year.

Intel’s server division is also expected to benefit from the acceleration into the big data analytics era and continued cloud investments.

Intel’s mobile division will still suffer loses, although more slowly.

Last modified on 15 January 2015
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