Intel Corp (INTC)

[wbmw]

we believe that – absolutely our view is that we can continue through this year with that low double digit growth.

Yes, and the real growth was 7-8%, depending on which point you choose to compare. At the same time, they exceeded expectations on desktop ASPs and mix. On the quarter as a whole, they missed EPS estimates by a penny, but beat revenue estimates by $100M. Further, they saw stabilization in PC sales, which is an incredibly positive note in light of most analyst estimates. It might be that the transitions they've seeded in the market in terms of thinner and lighter notebooks with better battery life are finally paying off.

On the datacenter in particular, they mentioned the slowdown from the government shutdown as one of the reasons why some orders had been cancelled, which contributed to the 2-3% miss from the double-digit expectation.

Overall, I don't see anything particularly negative, or any indications from management that they are out of touch with their business. You can certainly find disconnects compared to previous expectations, but overall I don't see any fundamental warning signs.