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Stock Alert: Intel Corp.

Intel Corp. (INTC) is currently trading at $57.20, down $0.27 or 0.47%, with a market cap of $242.16 billion. The stock has been trading between $43.63 and $59.29 in the year-to-date period.

Intel on Monday said it acquired Israel-based start-up Moovit for $900 million.

Moovit offers travelers around the world the best multimodal trip planning by combining public transportation, bicycle and scooter services, ride-hailing, and car-sharing. The app is currently used by about 800 million people around the world.

The acquisition of Moovit could help Intel in its efforts in autonomous vehicles. In 2017 Intel paid $15.3 billion for Mobileeye, another Israel-based company focused on computer vision and machine learning for advanced driver assistance systems and autonomous driving.

Intel had reported its first-quarter results on April 23.

Intel first-quarter profit and revenues trumped Wall Street estimates. However, the chipmaker forecast a profit for the second quarter lower than analysts' estimates and also did not provide full-year guidance due to the significant economic uncertainty related to the coronavirus pandemic.

First-quarter results show that Intel temporarily benefited as millions of people worldwide stayed at home and worked using their personal computers, as majority of PCs are powered by Intel's processors. In the fourth quarter last year, about 83% of PCs shipped were powered by Intel processors.

Corporate companies also use Intel's chips to power cloud data centers. Intel also dominates the data center market, as it boasts of 95% share in the fourth quarter last year.

There is no doubt that Intel's business has benefited from to the ongoing COVID-19 pandemic. However, the company's future looks bleak as economic conditions deteriorate globally. Going ahead, more and more companies will curb capital spending, while PC shipment will slow down due to thousands of job cuts and other economic concerns.

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