Intel gains after ‘green shoots’ of recovery

Brighter outlook: Gelsinger (left) seen here walking with US President Joe Biden. He is trying to speed up the introduction of new production technology in an attempt to regain Intel’s industry leadership. — Reuters

INTEL Corp shares jumped after the embattled chipmaker promised a recovery in the second half, leading investors to look past a disappointing profit-margin forecast in the current quarter.

The company predicted that gross margins – a closely watched measure – would begin to widen again in the back half of 2023. Intel is returning to full manufacturing capacity, and an inventory glut afflicting the personal compute market is nearing an end, executives said on a conference call Thursday.