8 Most Active US Stocks To Buy Now

2. Intel Corp. (NASDAQ:INTC)

Volume: 85.883 million

Average Volume (3-Month): 83.601 million

Number of Hedge Fund Holders: 75

Intel Corp. (NASDAQ:INTC) designs, manufactures, and sells computer components and related products for business and consumer markets, best known for its microprocessors. It includes a range of processors for various applications, including personal computers, servers, and data centers, making it a major player in the semiconductor industry, with a strong presence in the global technology market.

The company experienced a 0.9% decline in revenue, as compared to the year-ago period. High inventory levels, at 137 days compared to the industry average of 90 days, remain a significant challenge. However, Intel Corp. (NASDAQ:INTC) has recently secured significant government funding through the CHIPS and Science Act.

Reports regarding a potential Qualcomm-Intel merger surfaced on September 28, following coverage by the WSJ, later confirmed by CNBC, leading to an initial rise in Intel Corp.’s (NASDAQ:INTC) share price by ~3%. However, Wells Fargo assessed the likelihood of such a deal as low due to regulatory challenges, particularly in China, alongside internal resistance from management.

The company’s new Xeon 6 processors, launched in Q2, offer improved performance and AI acceleration for enterprise AI systems. AI PCs are poised to dominate the market, with projections suggesting they will account for over half of all PC sales by 2026. Intel Corp.’s (NASDAQ:INTC) upcoming Panther Lake CPU, built on the 18A process, is expected to significantly boost performance and profitability. Its focus on cost reduction and innovation positions it well for future growth, despite recent challenges.

Columbia Threadneedle Global Technology Growth Strategy stated the following regarding Intel Corporation (NASDAQ:INTC) in its Q2 2024 investor letter:

“Intel Corporation (NASDAQ:INTC) stumbled, and shares retreated as the company continued to struggle to right the ship as part of its shift in strategy. The company reported a weak quarter, with most results coming in below expectations, especially margins. The company did outline accelerating revenue growth in the second half of the year based off stable PC demand, the ramp up of its AI product and the recovery of end markets off of cyclical lows.”