Wall Street Just Supersized Its Price Target on Intel. Is the Stock Still Too Cheap?

Intel (NASDAQ:INTC) banal is trading astatine $130.60 midday Monday, up 2% connected the session. The determination follows a large price-target hike from Cantor Fitzgerald, which raised its people connected the shares to $150 from $90 portion keeping its standing astatine Neutral.

That nuance matters. A supersized people without a standing alteration signals beardown condemnation successful the AI infrastructure thesis portion inactive flagging caution connected Intel banal astatine these levels. INTC shares are up 249% year-to-date (YTD).

The question for investors chasing the determination is direct. With net inactive nether unit and the illustration vertical, is Intel banal genuinely cheap, oregon has the casual wealth connected the turnaround already been made?

Cantor's Bull Case Behind the $150 Target

Cantor expert C.J. Muse argues the AI infrastructure buildout is simply a generational semiconductor cycle, durable and extended by supply-chain constraints. He sees manufacture gross reaching $3 trillion by CY29 and perchance exceeding $3.5 trillion by CY30. Inside that cycle, Muse views Intel arsenic outperforming successful the accelerator and compute market.

Cantor notes that smaller participants similar Marvell Technology (NASDAQ:MRVL), Advanced Micro Devices (NASDAQ:AMD), and Intel person outperformed NVIDIA (NASDAQ:NVDA) and Broadcom (NASDAQ:AVGO) successful the accelerator marketplace this year. The statement is straightforward: choky wafer supply, authorities reshoring incentives, and a CPU-anchored AI inference architecture each favour Intel's positioning implicit the adjacent respective years.

Importantly, this $150 people is 1 firm's call. The communicative reads arsenic a Wall Street pivot, but the broader expert assemblage hasn't followed successful lockstep, and Cantor itself inactive rates the shares Neutral alternatively than Buy.

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The Q1 FY2026 results offered immoderate support. Intel posted gross of $13.58 cardinal and non-GAAP EPS of $0.29, with Data Center and AI up 22% twelvemonth implicit twelvemonth and Intel Foundry gross up 16%. Meanwhile, Intel's non-GAAP gross borderline expanded to 41%.

Intel CEO Lip-Bu Tan told investors that "the CPU is reinserting itself arsenic the indispensable instauration of the AI era" and that the CPU-to-GPU deployment ratio has moved from 1-to-8 toward 1-to-4. New deals with Alphabet's (NASDAQ:GOOGL) Google and a slot arsenic big CPU for NVIDIA's DGX Rubin NVL8 systems reenforce the request picture.