Intel’s Fourth-Quarter Forecast Misses Expectations

Intel’s forecast for the fourth quarter fell short of analyst expectations, sending its shares lower in after-hours trading and underscoring pressure from weaker PC demand and supply constraints affecting data-center products. The company projected revenue of $15 billion to $16 billion and adjusted earnings of 25 cents per share. Analysts had expected about $17 billion in revenue and 43 cents per share, according to figures cited in reports. Estimates of the share decline after the release ranged from about 15% to more than 22%, reflecting different observation or reporting times. The outlook followed a stronger-than-guided third quarter. Intel reported revenue of $16.5 billion for the three months ended September 26, up 21% from a year earlier, and adjusted earnings of 52 cents per share. Data Center and AI revenue was $7.3 billion, Client Computing revenue was $8.1 billion, and Foundry revenue was $6.7 billion. Chief Executive Lip-Bu Tan said demand for data-center products exceeded the company’s ability to supply them. He attributed constraints to shortages of some raw materials and the shutdown of an Israeli factory, and said Intel was working to address the supply...