10:44 AM EDT, 03/13/2025 (MT Newswires) -- Intel's ( INTC ) appointment of Lip-Bu Tan as its new chief executive officer starting March 18 is seen as a positive sign, given his extensive industry relationships, venture capital background and experience on the company's board, BofA Securities said in a note Wednesday.

"We believe Intel ( INTC ) has a greater opportunity to restructure/turn things around under his leadership, with Intel's ( INTC ) strong incumbency/brand position in enterprise PC/server CPUs increasing the potential for success," the firm said.

BofA said manufacturing remains one of the company's most challenging areas and a potential joint venture with Taiwan Semiconductor Manufacturing ( TSM ) to operate Intel's ( INTC ) foundry division might further support turnaround efforts if confirmed.

Details of the collaboration that could involve fabless companies like Nvidia ( NVDA ) , Advanced Micro Devices ( AMD ) , Broadcom ( AVGO ) , and Qualcomm ( QCOM ) are still unconfirmed and Taiwan Semiconductor's separate investments indicate a preference for operating independently, the firm said.

BofA upgraded its rating on Intel's ( INTC ) stock to neutral from underperform and raised its price target to $25 from $19.

Shares of Intel ( INTC ) were up 16% in recent trading.

Price: 24.00, Change: +3.32, Percent Change: +16.05