Piper Sandler Starts Intel at Neutral, Citing Agentic AI CPU Demand and Foundry Valuation

AnalystAnalyst
โดย Insider Monkey·US·Read original
Summary · why it matters

Piper Sandler initiated coverage on Intel Corporation with a Neutral rating and a $110 price target on September 9, with analyst David O'Connor arguing that Agentic AI workloads are driving demand for Intel's server CPUs while supply remains limited. O'Connor expects that supply-demand imbalance to persist until around 2029-2030, a favorable backdrop for whoever holds capacity, and Piper estimates Intel's Data Center Group could deliver a high-teens revenue CAGR through 2030, enough to more than offset softness in PC and memory. Intel's Data Center and AI Segment posted $6.3 billion in revenue in the second quarter of 2026, up 59% year-over-year. Piper said Intel's current share price already discounts roughly 15% of the foundry gains, a level representing an estimated one full fab module known as Fab-62 and accounting for 45% of the share price, meaning investors are already paying for a meaningful manufacturing recovery. The firm also noted upside in customer evaluations for 14A manufacturing and a recent milestone in which Intel Foundry became the first to run high-volume production using ASML's newest High-NA EUV lithography tools, while 138 hedge funds held the stock at the end of the quarter, up from 112 in the prior quarter, and short interest stood at 2.9% of the public float as of August 31, 2026.

Impact on stocks 5

Semiconductors▲ · 3 stocks
Intel Corporation
INTC
▲ PositiveCapitalrelevance

Piper Sandler initiated Intel at Neutral with a $110 price target, citing Agentic AI CPU demand and foundry valuation upside.

Artificial Intelligence▲ · 1 stocks
Financials▲ · 1 stocks

Theme Impact 5

Related news

2

Microchip Technology's memBrain SAGE IP Selected by AnalogAI for Edge AI Processors

Microchip Technology has been selected by AnalogAI to supply its memBrain SAGE neuromorphic hardware IP for use in new edge AI processors. The collaboration centers on compute-in-memory technology targeting training and inference for adaptive robots, drones and vehicles, with AnalogAI planning to integrate memBrain SAGE into real-world, low-power AI systems designed for deployment at the network edge. Microchip Technology is a US-based semiconductor supplier with a roughly $38.5b market cap focused on smart, connected and secure embedded control solutions. The design win supports the edge-computing catalyst in the company's narrative, though analysts flag execution risk from competition, including edge-AI platforms from Nvidia and Qualcomm.
MCHP ▲
Artificial Intelligence ▲Semiconductors Robotics & Physical AI ▲
Simply Wall St·7hRead more →

Enablence Closes C$25 Million Private Placement With Collingwood

Enablence Technologies Inc. has closed a C$25 million private placement with Collingwood Investments Incorporated. The Ottawa-based optical chip maker issued 3,226,000 common shares at C$7.75 per share for gross proceeds of approximately C$25 million. Enablence said it will use the net proceeds for planned capital expenditures to expand capacity at its fab facilities in Silicon Valley and Vietnam, for working capital to support growing sales volumes, and for general corporate purposes. Concurrent with the closing, the company entered into an investor rights agreement granting Collingwood pro rata pre-emptive rights on all future equity issuances and certain top-up rights. The shares are subject to a four-month-and-one-day statutory hold period, and the offering remains subject to final acceptance of the TSX Venture Exchange. Paradigm Capital Inc. acted as exclusive financial advisor and is entitled to a cash fee equal to 5% of gross proceeds, with Bennett Jones LLP as legal advisor.
688981.CG
Semiconductors
Newsfile·9hRead more →
▼impact 4

Micron and Intel CEOs Warn Memory Chip Shortages Could Last Through 2027

Micron Technology and Intel CEOs cautioned that memory chip shortages and higher prices could persist through 2027, with Micron's leadership indicating on a recent call that supply constraints may only start to ease meaningfully from 2028 onward. Intel's CEO echoed the outlook for extended tightness in DRAM and NAND availability, pointing to heavy AI and data center demand. Micron Technology designs and produces memory and storage hardware used in everything from smartphones and PCs to data centers, so long running tightness in DRAM and NAND supply directly touches the products it sells into these markets. As one of the larger US based chip manufacturers by scale, with a reported market value of about $1.1 trillion, its comments on supply conditions can influence how investors think about capacity planning across the wider semiconductor sector. The clearest test of this read will be how Micron's long term customer agreements and utilization plans look through 2027, especially whether the company keeps reporting high take or pay coverage across its AI oriented memory output as new fabs and its 512GB DDR5 modules move toward volume production in the second half of 2027.
MU ▲INTC ▼
Semiconductors ▲Artificial Intelligence ▲
Simply Wall St·10hRead more →
© 2026 MarketDXNews