Intel heads into its April 23 earnings with rising investor expectations , but the key question remains whether AI-driven CPU demand can offset ongoing margin weakness . Revenue Stable, But Margins Under Pressure Intel is expected to deliver Q1 revenue around US$12.4 billion , slightly above the midpoint of its guidance range. However, the real concern lies in profitability: Gross margin guided at 34.5% , down from 39.2% a year ago EPS near breakeven (~US$0.00) vs US$0.13 last year This highlights continued pressure from costs, utilisation, and product mix , despite improving demand signals. AI CPUs: A Key Growth Driver Intel’s near-term bullish case centers on AI-related CPU demand , particularly its Xeon processors. A key development is its partnership with Alphabet , which reinforces: Intel’s role in AI data centre infrastructure Growing demand for AI inference and general-purpose computing Investors will watch c...
Bitcoin’s Drop & Market Impact
- Bitcoin has plunged over 20% since Inauguration Day, from nearly $110,000 to around $87,000.
- Coinbase (COIN) tumbled more than 20% over the past five days, while Robinhood (HOOD) dropped 24%.
- Crypto miners like Riot Platforms (MARA), Core Scientific (CORZ), and CleanSpark (CLSK) also saw sharp declines.
Why This Could Be a Buying Opportunity
- SEC dropped investigations into Coinbase & Robinhood, easing regulatory concerns.
- Trump’s SEC nominee, Paul Atkins, is seen as a pro-crypto advocate, signaling an end to "regulation by enforcement."
- Analysts see strong upside potential:
- Oppenheimer's Owen Lau: Coinbase price target at $388 (85% upside).
- Daiwa’s Steven Nie: Coinbase target at $400, citing resilient trading volumes despite Bitcoin’s correction.
Crypto Miners May Rebound
- Cantor Fitzgerald analyst Brett Knoblauch believes the crypto bull market could last another 12-16 months, supporting Bitcoin mining revenues.
- Miners like MARA, CORZ, and CLSK trade at reasonable valuations, with expectations for strong revenue and EBITDA growth.
- Miners are also pivoting to AI-driven data centers, leveraging advanced cooling & energy infrastructure.
Outlook: A Temporary Dip?
- Bitcoin-related stocks remain volatile, but with the SEC embracing Bitcoin ETFs, sentiment may shift.
- Coinbase and Robinhood are well-positioned to recover, assuming Bitcoin prices stabilize.
Summary:
- Bitcoin's 20% drop has led to a selloff in crypto stocks, but analysts see a rebound ahead.
- SEC’s policy shift & Trump’s pro-crypto stance improve regulatory outlook.
- Coinbase, Robinhood, and crypto miners remain undervalued, presenting a buying opportunity.
- Miners diversifying into AI infrastructure could add long-term value.
Comments
Post a Comment