Investing.com - Mizuho raised its price target on Intel stock (NASDAQ:INTC) to $59 from $48 while maintaining a Neutral rating on the shares. The stock currently trades at $64.27, already above the new target and near its 52-week high of $65.65, reflecting a remarkable 221% gain over the past year.
The firm cited increasing server CPU demand driven by agentic AI trends as a key factor in the price target increase. Mizuho noted that ARM projects core counts will rise four times from 30 million per gigawatt today to 120 million per gigawatt by 2030.
Growing enterprise demand for agentic AI could drive server CPU average selling price increases of 10% to 15% year-over-year, according to the firm. Mizuho expects strong demand for server CPUs in 2026 and 2027 to potentially benefit Intel.
The firm identified headwinds in the PC market persisting in 2026, with units expected to decline 10% to 15% year-over-year due to memory constraints. Intel could potentially shift CPU capacity from PC to servers to offset the decline.
Mizuho said Intel's foundry business remains a long-term focus, with EMIB-T rolling out in 2026 and potential external 14A customers in the second half of 2026. The firm noted increasing CPU competition as a longer-term headwind for the company.
According to InvestingPro analysis, Intel appears overvalued at current levels. Investors can access Intel's comprehensive Pro Research Report, one of 1,400+ available reports offering expert analysis and actionable intelligence ahead of the company's earnings on April 23.
In other recent news, Intel has been the focus of multiple analyst upgrades and increased price targets. UBS raised its price target for Intel to $65, citing resilient PC demand and stronger server CPU sales, with expectations for first-quarter revenue to reach approximately $12.5 billion, up from Intel's guidance midpoint of $12.2 billion. Benchmark also increased its price target to $76, maintaining a Buy rating due to Intel's advancements in artificial intelligence systems and manufacturing capabilities. Northland set a Street High target of $92, highlighting Intel's strategic deals with the U.S. government, Nvidia, Tesla, and Google, as well as the increased valuation of its manufacturing facilities.
Additionally, Northland emphasized Intel's development of five process nodes over four years and significant cash inflows from various strategic partnerships. TD Cowen raised its price target to $60, noting Intel's advantageous position in server CPU demand and its independence from TSMC for capacity. These recent developments reflect a growing confidence among analysts in Intel's strategic direction and market positioning.