Intel shares closed April down more than 30%, their worst month in over 20 years, as the chip maker continues to struggle with executing a turnaround.

The stock was down 1.7% at mid-session on Tuesday, putting it on pace for its worst monthly drop since June 2002. It has plunged 38% this year, making it the weakest performer in the Philadelphia Stock Exchange Semiconductor Index, which is down 3.6% in April but remains up 13% for 2024.

Much of Intel’s selloff came in the wake of results last week, when it gave a weak forecast, a sign that the company’s turnaround efforts are going to take more time and money. That followed a disappointing outlook for Intel’s factory operations earlier in the month.

“While 2024 should mark a bottom in many aspects of the business, the pace of the climb back up is likely to remain unclear,” Stifel wrote in a note to clients on Friday.

However, the company’s prospects are expected to improve from here. Revenue is forecast to rise 4.2% in 2024 after falling 14% last year, and to accelerate above 12% next year. That would represent its fastest pace of growth since 2018.

Still, Intel stock is one of the least loved in the chip industry, as fewer than a quarter of analysts recommend buying. Its consensus rating — a proxy for its ratio of buy, hold and sell ratings — is 3.33 out of five. Only Texas Instruments has a lower consensus, at 3.27. — (c) 2024 Reuters