Intel (INTC +13.79%) stock posted substantial gains in Thursday's trading. The company's share price ended the day's trading with a 4.4% gain. Meanwhile, the S&P 500 index jumped 2% in the session, and the Nasdaq Composite index rose 2.7%.
NASDAQ: INTC
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Intel's valuation rose again in Thursday's trading in conjunction with hopes for resolutions on the trade war front, spurring bullish momentum for the broader market. But the guidance picture provided by the company with its first-quarter report this afternoon suggests that today's gains could be poised to evaporate tomorrow.
Intel stock rose today on hopes trade war de-escalation could be in sight
The market saw another day of big gains Thursday as investors bought back into stocks on hopes that some trade war tensions could soon be alleviated. Reports suggesting that the Trump administration intends to get a deal done with China and bring tariffs lower helped drive bullish market momentum, and news indicating the U.S. could also be nearing a trade deal with India also helped send valuations higher.
But Intel's Q1 report and guidance signals valuation pressures in the near term
Intel reported its Q1 results after the market closed today, and actually posted sales and earnings performance for the period that came in significantly better than Wall Street's targets. The business posted earnings per share (EPS) of $0.13 on sales of $12.67 billion, coming in far ahead of the average analyst estimate's call for per-share earnings of $0.01 on sales of $12.3 billion.
