Intel's $20 billion equity issuance would dilute earnings per share (net profit per share) by about 4%-5% because of the larger share count, Bank of America said in an Aug. 12 report. The bank described the move as a "good leading indicator" of management's growing confidence in its foundry business (contract chip manufacturing). It said the financing is a net positive overall because larger foundry scale and stronger customer confidence should support long-term revenue growth and improve operating efficiency enough to offset the moderate near-term dilution. The analyst reiterated a buy rating on Intel but lowered the firm's price target to $145 from $160 to reflect the mild earnings impact and a recent reset in valuation multiples for AI computing peers.