Frank Lee, a semiconductor analyst at HSBC, increased his price target for Intel to $200 and reiterated a buy rating on July 2, 2026. This new target represents a doubling from his previous price target of $100.

Lee stated that customer engagement at Intel has picked up. He also raised his server CPU growth forecasts for Intel for both 2026 and 2027. Lee described server CPUs as the "key driver" of Intel's earnings over the next two years.

The analyst also accounted for Intel Foundry, noting that he expects design commitments to the division to begin arriving in the second half of 2026. Lee had previously excluded Intel Foundry from his model in April 2026 because external customers had not committed enough to assign a value. He stated that the opportunity he sees at Intel Foundry is "too good to ignore."

In late 2025, Lee had a 'reduce' rating on Intel with a $24 price target before initiating a 'buy' rating in April 2026 at $95. His current $200 price target is approximately $100 above the average analyst valuation for Intel. The average price target across analysts tracking Intel is around $101. Cantor Fitzgerald currently holds a $150 price target for Intel, while Mizuho has a neutral rating.

Why It Matters

Frank Lee's updated price target for Intel indicates a shift in his outlook for the company's financial performance. His projection for Intel's 2027 data center and AI revenue is approximately 20% higher than the current Wall Street consensus. Intel is also anticipated to become profitable in 2026, and its stock surged 481% in the year preceding July 2026. Companies including Apple, Alphabet, Nvidia, Microsoft, and Amazon are reportedly building relationships with Intel's foundry operation.