12 Best Edge Computing Stocks to Invest in According to Analysts

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1. Intel Corporation (NASDAQ:INTC)

Average Analyst Upside: 44.21%

Number of Hedge Fund Holders: 68

Intel Corporation (NASDAQ:INTC), headquartered in Santa Clara, California, is a leading global semiconductor manufacturer known for its significant role in advancing the x86 series of instruction sets, widely used in personal computers. Beyond its core business, Intel Corporation (NASDAQ:INTC) offers edge computing solutions, including the Intel Smart Edge Open, an open-source Mobile Edge Computing (MEC) toolkit designed to enable efficient and high-performance deployment of edge platforms for applications and network functions.

On December 3, Evercore ISI reiterated its In Line rating for Intel Corporation (NASDAQ:INTC), maintaining a price target of $26 following the announcement of CEO Pat Gelsinger’s retirement. The firm acknowledged progress made under Gelsinger’s leadership in narrowing the technology gap with competitors like TSMC. However, Evercore ISI highlighted ongoing challenges, including competition from AMD, NVIDIA, and Intel’s own customers developing custom CPUs and AI processors. Additionally, the shift in the data center market from x86 architecture to GPUs and ARM at the edge presents further hurdles for Intel Corporation (NASDAQ:INTC).

Despite these challenges, Intel’s financial performance in Q3 showed resilience, with $13.3 billion in revenue, reflecting a 4% sequential increase. The company also provided full-year guidance for its Mobileye division, projecting $485 million in revenue. Furthermore, Intel’s programmable chips division, Altera, reported a 14% sequential revenue growth, reaching $412 million for the quarter ending in September.

While we acknowledge the potential of INTC, our conviction lies in the belief that certain AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than INTC but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock.

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