Intel Corp. (NASDAQ: INTC) posted a 34% growth in revenue today, a quarterly record for the 42-year old company.
“Strong demand from corporate customers for our most advanced microprocessors helped Intel achieve the best quarter in the company’s 42-year history,” said Paul Otellini, Intel president and CEO. “Our process technology lead plus compelling architectural designs increasingly differentiate Intel-based products in the marketplace. The PC and server segments are healthy and the demand for leading-edge technology will continue to increase for the foreseeable future.”
Often seen as a financial barometer for the tech industry as a whole, Intel’s growth is one of the most positive signs of economic recovery we have seen since the economic collapse in 2008. It is especially good news amidst fears that we may be facing a “double-dip” recession.
“This takes your probability for a double-dip way down. There are collateral positives for the whole tech space,” said Keith Goddard, President of Capital Advisors Group, who owns Intel stock as part of $800 million in assets under management.
Among other signs that the tech sector is rebounding, Microsoft (NASDAQ: MSFT) and Sandisk (NASDAQ: SNDK) received ratings upgrades from financial analysts. Advanced Micro Devices Inc. (NYSE: AMD) received a boost from Intel’s news today as well, rising 5.7% to $7.95 in late trading.
While some of this positivity can likely be attributed to government spending under the President’s stimulus plan, many financial analysts remain hopeful that the momentum will continue to build over the course of this year, and through the holiday season.
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