Intermediate temperature solid oxide fuel cell (SOFC) operation provides numerous advantages such as high combined heat and power (CHP) efficiency, potentially long-term materials stability, and the use of low-cost materials. However, due to the sluggish kinetics of the oxygen reduction reaction at intermediate temperature, the cathode of SOFC requires an efficient and stable catalyst. Significant progress in the development of cathode materials has been made over recent years. In this article, multiple strategies for improving the performance of cathode materials have been extensively reviewed such as A and B site doping of perovskites, infiltration of catalytic active materials, the use of core-shell composites, etc. Emphasis has been given to intrinsic properties such as thermal expansion compatibility, chemical and thermal stability, and oxygen transport number. Furthermore, to avoid any insulating phase formation at the cathode/electrolyte interface, strategies for interfacial layer modifications have also been extensively reviewed and summarized. Based on major technical challenges, future research directions have been proposed for efficient and stable intermediate temperature solid oxide fuel cell (SOFC) operation.