Quick Read – Intel’s 159x forward P/E masks a $3.7B quarterly loss while Microsoft’s $37B AI business grows 123% at just 19x forward earnings. – Microsoft’s $627 billion contracted revenue backlog and 52 Buy ratings with zero Sells make it the overlooked retirement-grade…
mpounder. – Intel (NASDAQ:INTC) is the ticker dominating financial headlines after a stunning 455.89% one-year rally powered by CEO Lip-Bu Tan’s turnaround pitch and a fresh AI positioning story. But here’s what you should actually be watching
The Intel Rally Has Left Fundamentals Behind Intel now trades at $127.02, well above the $67.32 level at its Q1 FY26 earnings report. That quarter, the company posted a GAAP net loss of $3.728 billion, weighed down by a $4.07 billion restructuring charge tied to the Mobileye goodwill impairment. Free cash flow ran -$3.867 billion.
Intel Foundry is still bleeding $2.3 billion to $3.2 billion in operating losses per quarter, with no defensible path to profitability on the current timetable. The valuation is a stretch by any reasonable measure. Forward P/E sits at roughly 159x, EV/EBITDA at 63x, and trailing EPS is -$0.60.