10:20 AM EDT, 09/17/2024 (MT Newswires) -- Intel's ( INTC ) recent business update announcements are viewed in a "positive light" but are not sufficient to overcome issues the company is facing, Truist Securities said in a note Tuesday.

The highlights include Intel Foundry operating as an independent unit; the company receiving up to $3 billion in US government chip funding; a multi-billion framework deal with Amazon's ( AMZN ) Amazon Web Services; and selling some parts of Altera, analysts led by William Stein wrote.

Intel ( INTC ) receiving the $3 billion in financing is a "constructive development; however, the lack of details here also mute our enthusiasm somewhat," the analysts said.

The analysts also highlighted that Amazon ( AMZN ) choosing Intel Foundry to manufacture an AI fabric chip on 18A is a "clearly positive development" but sizing, timing, and execution are "uncertain and this mutes our enthusiasm."

Truist Securities maintained its hold rating and $25 price target on Intel's ( INTC ) stock.

Shares of Intel ( INTC ) were up by nearly 3% in recent Tuesday trading.

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