Intel (INTC) Moves Back Toward Break-Even After Warning

Intel (Nasdaq: INTC) is back near break-even after last night's major sales and profit warning. The stock was down 7% after the close. Much of the news from Intel was anticipated and short sellers are likely covering on the 'Sell The Rumor, Buy the Fact' trade. Bargain hunters are also likely looking at Intel, which has a dividend yield over 4%.

After the close, Intel said it now sees Q4 revenue to be $9 billion, plus or minus $300 million, lower than the previous expectation of between $10.1 billion and $10.9 billion. The Wall Street consensus is $10.36 billion. Intel said revenue is being affected by significantly weaker than expected demand in all geographies and market segments. In addition, the PC supply chain is aggressively reducing component inventories.

Intel Corporation engages in making, marketing, and selling integrated circuits for computing and communications industries worldwide.