Stock Analysis on Net
Stock Analysis on Net

Intel Corp. (NASDAQ:INTC)

Analysis of Goodwill and Intangible Assets

Microsoft Excel

Goodwill and Intangible Asset Disclosure

Intel Corp., balance sheet: goodwill and intangible assets

US$ in millions

Microsoft Excel
Dec 30, 2023 Dec 31, 2022 Dec 25, 2021 Dec 26, 2020 Dec 28, 2019
Goodwill 27,591 27,591 26,963 26,971 26,276
Developed technology 10,520 10,964 11,102 10,188 9,407
Customer relationships and brands 1,986 1,986 2,110 2,110 2,160
Licensed technology and patents 3,088 3,219 2,893 2,836 2,975
Identified intangible assets subject to amortization, gross assets 15,594 16,169 16,105 15,134 14,542
Accumulated amortization (11,010) (10,151) (8,835) (7,363) (5,964)
Identified intangible assets subject to amortization, net 4,584 6,018 7,270 7,771 8,578
In-process R&D — — — 954 1,664
Other non-amortizing intangibles 5 — — 301 585
Identified intangible assets not subject to amortization 5 — — 1,255 2,249
Identified intangible assets 4,589 6,018 7,270 9,026 10,827
Goodwill and identified intangible assets 32,180 33,609 34,233 35,997 37,103

Based on: 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-25), 10-K (reporting date: 2020-12-26), 10-K (reporting date: 2019-12-28).

Item Description The company
Goodwill Amount after accumulated impairment loss of an asset representing future economic benefits arising from other assets acquired in a business combination that are not individually identified and separately recognized.
Identified intangible assets Sum of the carrying amounts of all intangible assets, excluding goodwill, as of the balance sheet date, net of accumulated amortization and impairment charges. Intel Corp. identified intangible assets decreased from 2021 to 2022 and from 2022 to 2023.
Goodwill and identified intangible assets Sum of the carrying amounts of all intangible assets, including goodwill, as of the balance sheet date, net of accumulated amortization and impairment charges. Intel Corp. goodwill and identified intangible assets decreased from 2021 to 2022 and from 2022 to 2023.

Adjustments to Financial Statements: Removal of Goodwill

Intel Corp., adjustments to financial statements

US$ in millions

Microsoft Excel
Dec 30, 2023 Dec 31, 2022 Dec 25, 2021 Dec 26, 2020 Dec 28, 2019
Adjustment to Total Assets
Total assets (as reported) 191,572 182,103 168,406 153,091 136,524
Less: Goodwill 27,591 27,591 26,963 26,971 26,276
Total assets (adjusted) 163,981 154,512 141,443 126,120 110,248
Adjustment to Total Intel Stockholders’ Equity
Total Intel stockholders’ equity (as reported) 105,590 101,423 95,391 81,038 77,504
Less: Goodwill 27,591 27,591 26,963 26,971 26,276
Total Intel stockholders’ equity (adjusted) 77,999 73,832 68,428 54,067 51,228

Based on: 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-25), 10-K (reporting date: 2020-12-26), 10-K (reporting date: 2019-12-28).

Intel Corp., Financial Data: Reported vs. Adjusted

Adjusted Financial Ratios: Removal of Goodwill (Summary)

Intel Corp., adjusted financial ratios

Microsoft Excel
Dec 30, 2023 Dec 31, 2022 Dec 25, 2021 Dec 26, 2020 Dec 28, 2019
Total Asset Turnover
Reported total asset turnover 0.28 0.35 0.47 0.51 0.53
Adjusted total asset turnover 0.33 0.41 0.56 0.62 0.65
Financial Leverage
Reported financial leverage 1.81 1.80 1.77 1.89 1.76
Adjusted financial leverage 2.10 2.09 2.07 2.33 2.15
Return on Equity (ROE)
Reported ROE 1.60% 7.90% 20.83% 25.79% 27.16%
Adjusted ROE 2.17% 10.85% 29.03% 38.65% 41.09%
Return on Assets (ROA)
Reported ROA 0.88% 4.40% 11.80% 13.65% 15.42%
Adjusted ROA 1.03% 5.19% 14.05% 16.57% 19.09%

Based on: 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-25), 10-K (reporting date: 2020-12-26), 10-K (reporting date: 2019-12-28).

Financial ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Intel Corp. adjusted total asset turnover ratio deteriorated from 2021 to 2022 and from 2022 to 2023.
Adjusted financial leverage A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity.
Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income.		 Intel Corp. adjusted financial leverage ratio increased from 2021 to 2022 and from 2022 to 2023.
Adjusted ROE A profitability ratio calculated as net income divided by adjusted shareholders’ equity. Intel Corp. adjusted ROE deteriorated from 2021 to 2022 and from 2022 to 2023.
Adjusted ROA A profitability ratio calculated as net income divided by adjusted total assets. Intel Corp. adjusted ROA deteriorated from 2021 to 2022 and from 2022 to 2023.

Intel Corp., Financial Ratios: Reported vs. Adjusted

Adjusted Total Asset Turnover

Microsoft Excel
Dec 30, 2023 Dec 31, 2022 Dec 25, 2021 Dec 26, 2020 Dec 28, 2019
As Reported
Selected Financial Data (US$ in millions)
Net revenue 54,228 63,054 79,024 77,867 71,965
Total assets 191,572 182,103 168,406 153,091 136,524
Activity Ratio
Total asset turnover1 0.28 0.35 0.47 0.51 0.53
Adjusted for Goodwill
Selected Financial Data (US$ in millions)
Net revenue 54,228 63,054 79,024 77,867 71,965
Adjusted total assets 163,981 154,512 141,443 126,120 110,248
Activity Ratio
Adjusted total asset turnover2 0.33 0.41 0.56 0.62 0.65

Based on: 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-25), 10-K (reporting date: 2020-12-26), 10-K (reporting date: 2019-12-28).

2023 Calculations

1 Total asset turnover = Net revenue ÷ Total assets
= 54,228 ÷ 191,572 = 0.28

2 Adjusted total asset turnover = Net revenue ÷ Adjusted total assets
= 54,228 ÷ 163,981 = 0.33

Activity ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Intel Corp. adjusted total asset turnover ratio deteriorated from 2021 to 2022 and from 2022 to 2023.

Adjusted Financial Leverage

Microsoft Excel
Dec 30, 2023 Dec 31, 2022 Dec 25, 2021 Dec 26, 2020 Dec 28, 2019
As Reported
Selected Financial Data (US$ in millions)
Total assets 191,572 182,103 168,406 153,091 136,524
Total Intel stockholders’ equity 105,590 101,423 95,391 81,038 77,504
Solvency Ratio
Financial leverage1 1.81 1.80 1.77 1.89 1.76
Adjusted for Goodwill
Selected Financial Data (US$ in millions)
Adjusted total assets 163,981 154,512 141,443 126,120 110,248
Adjusted total Intel stockholders’ equity 77,999 73,832 68,428 54,067 51,228
Solvency Ratio
Adjusted financial leverage2 2.10 2.09 2.07 2.33 2.15

Based on: 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-25), 10-K (reporting date: 2020-12-26), 10-K (reporting date: 2019-12-28).

2023 Calculations

1 Financial leverage = Total assets ÷ Total Intel stockholders’ equity
= 191,572 ÷ 105,590 = 1.81

2 Adjusted financial leverage = Adjusted total assets ÷ Adjusted total Intel stockholders’ equity
= 163,981 ÷ 77,999 = 2.10

Solvency ratio Description The company
Adjusted financial leverage A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity.
Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income.		 Intel Corp. adjusted financial leverage ratio increased from 2021 to 2022 and from 2022 to 2023.

Adjusted Return on Equity (ROE)

Microsoft Excel
Dec 30, 2023 Dec 31, 2022 Dec 25, 2021 Dec 26, 2020 Dec 28, 2019
As Reported
Selected Financial Data (US$ in millions)
Net income attributable to Intel 1,689 8,014 19,868 20,899 21,048
Total Intel stockholders’ equity 105,590 101,423 95,391 81,038 77,504
Profitability Ratio
ROE1 1.60% 7.90% 20.83% 25.79% 27.16%
Adjusted for Goodwill
Selected Financial Data (US$ in millions)
Net income attributable to Intel 1,689 8,014 19,868 20,899 21,048
Adjusted total Intel stockholders’ equity 77,999 73,832 68,428 54,067 51,228
Profitability Ratio
Adjusted ROE2 2.17% 10.85% 29.03% 38.65% 41.09%

Based on: 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-25), 10-K (reporting date: 2020-12-26), 10-K (reporting date: 2019-12-28).

2023 Calculations

1 ROE = 100 × Net income attributable to Intel ÷ Total Intel stockholders’ equity
= 100 × 1,689 ÷ 105,590 = 1.60%

2 Adjusted ROE = 100 × Net income attributable to Intel ÷ Adjusted total Intel stockholders’ equity
= 100 × 1,689 ÷ 77,999 = 2.17%

Profitability ratio Description The company
Adjusted ROE A profitability ratio calculated as net income divided by adjusted shareholders’ equity. Intel Corp. adjusted ROE deteriorated from 2021 to 2022 and from 2022 to 2023.

Adjusted Return on Assets (ROA)

Microsoft Excel
Dec 30, 2023 Dec 31, 2022 Dec 25, 2021 Dec 26, 2020 Dec 28, 2019
As Reported
Selected Financial Data (US$ in millions)
Net income attributable to Intel 1,689 8,014 19,868 20,899 21,048
Total assets 191,572 182,103 168,406 153,091 136,524
Profitability Ratio
ROA1 0.88% 4.40% 11.80% 13.65% 15.42%
Adjusted for Goodwill
Selected Financial Data (US$ in millions)
Net income attributable to Intel 1,689 8,014 19,868 20,899 21,048
Adjusted total assets 163,981 154,512 141,443 126,120 110,248
Profitability Ratio
Adjusted ROA2 1.03% 5.19% 14.05% 16.57% 19.09%

Based on: 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-25), 10-K (reporting date: 2020-12-26), 10-K (reporting date: 2019-12-28).

2023 Calculations

1 ROA = 100 × Net income attributable to Intel ÷ Total assets
= 100 × 1,689 ÷ 191,572 = 0.88%

2 Adjusted ROA = 100 × Net income attributable to Intel ÷ Adjusted total assets
= 100 × 1,689 ÷ 163,981 = 1.03%

Profitability ratio Description The company
Adjusted ROA A profitability ratio calculated as net income divided by adjusted total assets. Intel Corp. adjusted ROA deteriorated from 2021 to 2022 and from 2022 to 2023.