TLDR
- Intel stock dropped 1.3% to $46.18 Tuesday, extending a 7% slide over the past week.
- Q4 EPS of $0.15 beat estimates, but revenue fell 4.2% year-over-year to $13.67 billion.
- Foundry yields sit at 55–65%, well below the 80–90% industry standard, with $12 billion in losses from 2021–2023.
- Wall Street consensus is “Reduce” with an average price target of $45.74; 26 Hold, 6 Sell, 5 Buy.
- Intel invested $100M+ in AI platform SambaNova, but analysts want execution before upgrading the stock.
Intel stock fell 1.3% to $46.18 on Tuesday, with an intraday low of $45.46. Volume came in at around 63.2 million shares — about 52% below the average session, pointing to a lack of conviction either way.
The move adds to a rough week. INTC is down roughly 7% over the past five sessions as chip stocks broadly showed weakness in early Tuesday trading.
Q4 results offered a mixed picture. Intel posted EPS of $0.15, beating the $0.08 consensus estimate by $0.07. Revenue hit $13.67 billion, also ahead of the $13.37 billion expectation. But revenue was still down 4.2% year-over-year, and Q1 2026 guidance came in at $0.00–$0.00 EPS — conservative at best.
Foundry Operations Remain the Biggest Drag
The foundry business is where the real pain is. Intel’s foundry division lost $12 billion between 2021 and 2023. Current production yields are sitting at 55–65%, well short of the 80–90% industry benchmark.
CFO David Zinsner said on the earnings call that Intel simply doesn’t have the capacity to meet current demand, pointing to “acute internal supply constraints.” That shortfall is expected to suppress sales and earnings in the coming months. Higher costs for memory chips and substrate wafers are adding to the margin pressure.
What Analysts Are Saying
The average Wall Street rating on INTC is “Reduce,” with a consensus price target of $45.74 — below Monday’s close of $46.79. The breakdown sits at five Buy ratings, twenty-six Hold ratings, and six Sell ratings.
DA Davidson initiated coverage with a Neutral and warned of a “show-me” reset, saying current valuations already price in optimistic assumptions. Sanford C. Bernstein also reiterated Neutral, waiting for clearer execution milestones. Morgan Stanley lifted its target from $38 to $41 but kept an Equal Weight rating.
AI Push and Insider Activity
Intel isn’t standing still. The company invested at least $100 million in SambaNova, an AI software platform, as part of its push to build out its AI stack. Intel also announced progress on its Saimemory project, unveiling a ZAM prototype aimed at AI-hardware development.
Management is targeting a world where one in two PCs are AI-driven — a potentially large market if OEM design wins follow through.
On the insider front, EVP April Miller sold 20,000 shares at $49.05 on February 2nd, cutting her position by 15%. EVP David Zinsner went the other direction, buying 5,882 shares at $42.50 on January 26th.
Intel’s 50-day moving average sits at $43.42. The 200-day is at $36.12. Market cap stands at $230.67 billion.
The post Intel (INTC) Stock: Falls as Foundry Struggles and Weak Guidance Weigh on Shares appeared first on Blockonomi.
This articles is written by : Nermeen Nabil Khear Abdelmalak
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