Citi Maintains Neutral on Intel Corporation (NASDAQ:INTC) as ARM Gains Market Share in Q1 Microprocessor Shipments

Citi recently maintained a Neutral rating on Intel Corporation (NASDAQ:INTC) stock. Intel markets key technologies for smart devices. In an investor note, Citi highlighted that Mercury Research released estimates for Q1 microprocessor shipments and market share, with Q1 MPU units down 6.1% quarter-over-quarter, above seasonality of down 9.4%.

Citi Analyst Discusses Intel Microprocessor Shipments

Per the Mercury estimates, ARM gained market share over both AMD and Intel. Citi said ARM gained 281 basis points quarter-over-quarter and had 13.6% in MPU unit share. AMD lost 99 basis points and had 21.1% of the overall MPU unit share, while Intel lost 182 basis points and had 65.3% share.

Latest reports, published by Reuters, indicate that Intel has considered divesting its network and edge businesses as the chipmaker looks to shave off parts of the company its new chief executive does not see as crucial. Talks about the potential sale of the group, once called NEX in Intel’s financial results, are a part of CEO Lip-Bu Tan’s strategy to focus its tens of thousands of employees on areas in which it has historically thrived: PC and data center chips.

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