Intel Corp.'s (NASDAQ: INTC) quarterly earnings results are like a canary in a coal mine for investors. If the world's largest chipmaker beats Wall Street expectations later today, then shares of every gadget, widget and internet company will raise in sympathy. If things go awry, tech investors better run for cover.Interestingly, Wall Street analysts are forecasting growth at the Santa Clara, Calif.-based company to slow to a crawl in the quarter but most consider the stock a buy. Revenue is expected to increase 7% in the second quarter, down from 12% in the previous three quarters, according to analysts surveyed by Bloomberg News who are calling for sales to rise 4% this year, half the rate of 2007. Analysts expect the company to earn 26 cents per share on revenue of $9.33 billion.
Earlier this year, tech research firm Gartner reduced its worldwide sales forecasts for personal computers, citing the weakening economy and cautioned that growth could drop into the single digits. But what's driving Intel these days is notebook computers, where sales remain robust. Dell Inc. (NASDAQ: DELL) reported better-than-expected results in May because of growth in laptops sales.
Closing Bell: Stocks slump as AMD, AT&T, GM and Merck decline
Global Q&A: A rocky road, but profits ahead
Could oil go as low as $40?
