Shares of Intel (INTC 5.68%) rose on Tuesday, following bullish analyst commentary.
By the close of trading, Intel's stock price was up more than 3% after rising as much as 7% earlier in the day.
Image source: Intel.
New chips should drive further share price gains
Analysts at Seaport Research Partners placed a buy rating on Intel's shares on Tuesday. The equity research team sees the semiconductor stock's price rising more than 33% to $65 per share.
NASDAQ: INTC
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Seaport believes that Intel's new Panther Lake processors will help it wrestle away market share from its rivals in its corporate and consumer businesses. PC manufacturers are optimistic about the performance of the chipmaker's latest products, according to Seaport's channel checks.
The AI boom could be another powerful growth driver for Intel
HSBC analyst Frank Lee is also getting more optimistic on Intel's prospects. Lee expects the chipmaker's server-related sales to return to growth, fueled by a coming boom in agentic artificial intelligence (AI).
"As AI moves from simple assistants to autonomous agents that plan and execute tasks, the requirement for general-purpose compute is accelerating," Lee said.
In turn, Lee argues that demand for server chips will significantly outpace Wall Street's projections for 4% to 6% growth in 2026.
