Intel (NASDAQ: INTCThe company has reportedly signed a €10 billion ($10.9 billion) subsidy deal with the German government for a new semiconductor factory in Magdeburg, according to Bloomberg. German Chancellor Olaf Scholz and Intel CEO Pat Gelsinger will formally sign the agreement at a ceremony in Berlin. This is done after announcing that: $25 billion investment in Israel The company is looking to diversify beyond Asia.
This is a huge boost for semiconductor makers, who initially expected €6.8 billion from the state, but eventually the figure rose to €9.9 billion. The package includes traditional financial aid and energy price caps. Last year, Intel’s investment in the Magdeburg plant, which he estimated at 17 billion euros, has now increased to 30 billion euros. The company also plans to set up a $4.6 billion semiconductor facility in Poland to strengthen the resilience of the EU’s chip supply chain.
Looking to Wall Street, analysts think: Maintain consensus rating INTC stock Based on 5 buys, 17 holds and 4 sells Allocated within the last 3 months, as shown in the image above. Nevertheless, the average target price of $31.16 per share suggests 14.32% downside.