INTC

INTEL CORPNasdaq

Three independently researched cases — bear, base, and bull — generated automatically from published financials. Every assumption is justified and cited; the discount rate is computed from researched market inputs.

Valuation history every run

Aug 2, 2026Bear-$6.27Bull$18.68Base$2.04Price$89.21
-$13.91$13.78$41.47$69.16$96.85Aug 2, 2026

History builds as the valuation is recalculated — this is the first recorded run.

Market vs intrinsic value as of valuation

Price $89.21
Market cap $455.3B
Bear
-$6.27 / share-$32B IV-107.0%
Base
$2.04 / share$10.4B IV-97.7%
Bull
$18.68 / share$95.3B IV-79.1%

Compared against the researched share price for INTC; recalculate the valuation to refresh it.

Base inputs from financials

source period →

Base revenue (TTM)

$57B

Diluted shares

5,104,000,000

Net cash

-$35.7B

Bear

low confidence

-$6.27

IV / share

-107.0% vs $89.21

Enterprise

$3.7B

Equity

-$32B

Discount rate

12.4%

Cost of equity

13.2%

Revenue growth7.0% → 3.0% → 1.5% → 1.0% → 1.0%medium

Assumes the FY2026 AI/PC upcycle carries one more year off the $57.0B TTM base and then stalls as external foundry adoption fails to scale and AMD/Arm share gains resume the 2022–2025 pattern of flat-to-declining revenue.

Operating margin8.0%medium

If foundry never reaches breakeven and depreciation from the >$20B 2026 capex program lands on flat revenue, margins settle below the current quarterly run-rate and far below Intel's 2018–2020 norm.

Tax rate19.0%medium

With weak profits Intel captures little benefit from FDII and R&D credits and risks valuation allowances, so the cash tax rate converges near the U.S. marginal statutory rate.

Reinvestment rate90.0%low

Leading-edge fabs require sustained heavy capital spending regardless of demand, so in a weak-revenue world nearly all after-tax operating profit is consumed by net capital investment.

Terminal growth1.5%medium

A structurally share-losing Intel grows below the broader economy in perpetuity as its franchise erodes.

Base

medium confidence

$2.04

IV / share

-97.7% vs $89.21

Enterprise

$46.1B

Equity

$10.4B

Discount rate

12.4%

Cost of equity

13.2%

Revenue growth12.0% → 10.0% → 11.0% → 9.0% → 8.0%medium

Applies consensus to the $57.0B TTM base, capturing the FY2026 AI/data-center surge (DCAI +59%, CCG +13% in Q2'26), a modest 2027 digestion year, and re-acceleration as 18A/14A capacity ramps.

Operating margin18.0%medium

Rising 18A yields, product cost reductions and operating leverage on ~$90B of revenue lift margins well above today's roughly 11% but keep them below Intel's pre-2021 peak given foundry drag.

Tax rate16.0%medium

A profitable Intel with heavy U.S. manufacturing investment sustains an effective rate meaningfully below the statutory 21%.

Reinvestment rate62.0%medium

Net capital investment above depreciation stays elevated to fund U.S. fab buildout, but a growing profit base absorbs it and still leaves consensus-level free cash flow by the end of the decade.

Terminal growth2.5%medium

A stabilized Intel grows roughly in line with the overall economy once the current capacity cycle matures.

Bull

low confidence

$18.68

IV / share

-79.1% vs $89.21

Enterprise

$131B

Equity

$95.3B

Discount rate

12.4%

Cost of equity

13.2%

Revenue growth18.0% → 16.0% → 15.0% → 13.0% → 11.0%low

Assumes Intel converts AI data-center momentum (DCAI +59% YoY in Q2'26) and 18A-P/14A wins into sustained mid-teens growth, taking revenue past $110B — above the all-time peak of $79B set in 2021.

Operating margin27.0%low

Full fab utilization plus external foundry scale drives gross margin toward the mid-50s and restores operating margins close to Intel's pre-decline levels.

Tax rate13.0%medium

Heavy domestic manufacturing and export-linked income maximize U.S. credit utilization, holding the effective rate well below statutory.

Reinvestment rate45.0%low

Absolute capital spending stays very high, but a much larger profit base and improving returns on invested capital mean a smaller share of each profit dollar must be plowed back.

Terminal growth3.2%medium

A restored leading-edge Intel compounds modestly faster than the economy given secular AI and compute demand.

Market inputs researched

Risk-free rate

The 10-year Treasury is the standard risk-free proxy for a USD-denominated long-horizon DCF.

4.7%
high
Beta

Intel's raw beta is inflated by the 2024–2026 restructuring and bailout news flow, so a Blume-style adjustment toward the sector average gives a more forward-looking risk measure while still reflecting high operating and financial leverage.

1.9
medium
Equity risk premium

Damodaran's forward-looking implied ERP is the most current market-derived estimate of the equity premium.

4.5%
high
Share price

Most recent traded price, well off the June 2026 all-time high near $141, is the correct mark for comparing to intrinsic value.

89.21
high
Cost of debt

Long-dated Intel bond yields, adjusted slightly for the shorter average maturity of the $48.5B debt stack, give the pre-tax marginal cost of borrowing.

5.8%
medium
Reasoned byClaude Opus 5
Why the model matters →

Generated 8/2/2026, 8:03:03 PM · pipeline v1.0.0

For research and educational use only. Valuation estimates are not financial advice.