Intel Strong Enough For Peers (INTC, AMD, SMH, MU, AMAT)

Intel Corp. (NASDAQ: INTC) was halted for its “best ever” earnings release, something we do not always see.  Earnings were $0.51 EPS on $10.77 billion in revenues.  Consensus estimates from Thomson Reuters were $0.43 EPS and $10.25 billion in revenues.  The results and guidance are strong enough boost shares of peers such as Advanced Micro Devices Inc. (NYSE: AMD), Semiconductor HOLDRs (NYSE: SMH), and Micron Technology Inc. (NYSE: MU) in the after-hours session.

As far as guidance, Intel is looking for $11.6 billion in revenues, plus or minus $400 million.  Thomson Reuters has estimates of $0.48 EPS and $10.92 billion in revenues.  The processor and chip giant also sees margins within 2% of 67%.

For the year, Intel is targeting 66% in gross margin, up from 64% given previously.   The company is also raising its cap-ex spending target for 2010 to $5.2 billion (plus/minus $200M) from $4.8 billion (plus/minus $100M).  That higher cap-ex is prime for Applied Materials Inc. (NYSE: AMAT).  Applied shares closed up 1.7% at $12.52 and shares are up 2.8% at $12.87 in the after-hours session.  Applied’s analyst meeting at SEMICON West also came in above expectations today.

The revenue in PC Client Group rose 2% sequentially t $7.84 billion, with record mobile microprocessor revenue.  Its revenue in the Data Center Group rose 13% sequentially to $2.11 billion.

Shares were halted for earnings but the stock closed up 2.1% at $21.00 on more than 82 million shares.  The 52-week range is $15.90 to $24.37.

If you want to know how the halt compares to peer-reactions in the after-hours session… Advanced Micro Devices Inc. (NYSE: AMD) is up over 3%at $7.76.  The Semiconductor HOLDRs (NYSE: SMH), which is over 20% made up of Intel, is indicated up around $29.25 after closing up 2.17% at $28.19.  Micron Technology Inc. (NYSE: MU) is up 2% at $8.91 after closing up over 2% at $8.73 in the regular trading session.

Update at 4:38 PM EST: Intel has reopened and shares are trading up an additional 4.9% at $22.05 on more than 1 million shares since reopening , and that is after closing up 2.15% at $21.01 in the regular trading session.

JON C. OGG