Is Tech Heading for a Correction? Intel and Marvell Technology Are Expensive – Could Lahontan Gold Be a Rotation Winner?
Publish Date: 2026-06-18 07:02:00
Source Domain: finance.yahoo.com
lahontan gold chip chart ©Source: AI
Intel: Operational Pressure Forces Smart Capital Model
As an integrated chip manufacturer, Intel serves the PC and server market with its own processors and also acts as a contract manufacturer for external chip designers. To relieve pressure on the balance sheet amid high operating losses in the foundry business, the group, under the leadership of Lip-Bu Tan, is adopting a smart capital model. Due to changed market expectations, management has cancelled the projects in Germany and Poland despite high subsidies and is consolidating European manufacturing in Ireland. Financially, the US government’s investment supported the company by converting subsidy commitments into a direct government equity stake of approximately 10%. Nevertheless, massive write-downs of assets under construction are weighing on profitability, resulting in a GAAP net loss of USD 3.73 billion in the first quarter of 2026.
Marvell Technology: AI Order Surge and Collapsing Margins
Marvell Technology offers solutions for data infrastructure and semiconductors. Revenue for the full year 2026 climbed to a record USD 8.195 billion, driven by robust order intake of electro-optical network interfaces. However, the detailed income statement for the first quarter of fiscal year 2027 shows just how vulnerable the chip designer is to headwinds. Net income fell significantly to just USD 34.5 million, while the net profit margin collapsed from 9.4% to 1.4%. A one-time M&A expense caused this slump. Shareholders are also increasingly critical of high research and development expenditures. Whether these expenditures will materialize after years of AI hype remains questionable for many observers. It is precisely this uncertainty that is driving capital into real tangible assets—above all, gold.
Lahontan Gold: Million-Ounce Deposit in a Crucial Phase
The Canadian mining company Lahontan Gold (USOTC:LGCXF) is developing, through its…
