Cantor Fitzgerald has adjusted its outlook on Intel Corporation (NASDAQ: INTC), raising the chipmaker’s price target from $22.00 to $29.00 while maintaining a Neutral rating. The updated target now sits within the broader analyst range of $17.70 to $31.00.
The firm’s revised outlook reflects growing expectations around Intel’s strategic shift, particularly the potential separation of its design and foundry businesses. Analysts at Cantor Fitzgerald believe this restructuring is still in its early stages but see merit in reports suggesting that Intel DesignCo and Intel Foundry Services (IFS) could be split.
A key factor in this transition is Taiwan Semiconductor Manufacturing Company (NYSE: TSM), which analysts expect to play a role in managing IFS under favorable conditions. Last week, multiple media reports suggested TSMC is considering acquiring a majority stake in Intel Corp .’s factories at the request of the Trump administration. This development could significantly influence Intel’s restructuring plans and its future in the semiconductor industry.
However, Cantor Fitzgerald flagged concerns over Intel’s leadership uncertainty and financial struggles. The firm drew comparisons to General Motors (NYSE: GM), highlighting Intel’s ongoing negative free cash flow (FCF) and the absence of a clear successor for its top executive position.
According to InvestingPro data, Intel (NASDAQ: INTC) has reported a negative free cash flow of $15.66 billion over the past 12 months, underscoring the company’s financial hurdles. The biggest question now, according to analysts, is who will take charge of IFS if the business is separated. Cantor Fitzgerald suggests that TSMC remains the most logical candidate to lead the foundry operation under current circumstances.
