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Stifel positive on Intel’s Altera stake sale, sees more focus on core business

Stifel reiterated a Hold rating on Intel (INTC) after it agreed to sell 51% of Altera to Silver Lake at a $8.75B valuation, while it was also announced that Raghib Hussain would take over as Altera CEO effective May 5. The firm views the deal as a clear signal that Intel CEO Lip Bu Tan intends to reposition and reshape the company’s portfolio to be more focused on the core business amidst his leadership. Overall, Stifel is positive on the deal and looks toward the company’s upcoming Foundry Direct event on April 29 as a next potential catalyst post-earnings in Intel’s story.

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