Intel Slides ~26% Premarket as Weak Q4 Guide Sparks Record Selloff
INTC has more than doubled off its 52-week low of $32.89.
Summary
Intel beat Q3 estimates — adjusted EPS of $0.52 versus $0.40 consensus and revenue of $16.51 billion versus $16.47 billion expected — but the Q4 guide is the problem. Management forecast $0.25 EPS against a $0.43 consensus and revenue of $15 billion to $16 billion versus $17.05 billion expected. Shares are down nearly 26% in Friday premarket at $68.39, extending Thursday's 23% after-hours drop into a new session. Benchmark's Cody Acree pegs the guide miss at about 20 cents per share and nearly $2 billion in revenue, concentrated in PCs and memory-cost pressure, while Bernstein's Stacy Rasgon expects the PC client business to fall at least 20% sequentially in Q4 even as data center grows about 10%. Both see memory shortages and a possible CPU inventory correction persisting into 2027, though data center beat by roughly $500 million and foundry outperformed. Rasgon also questioned the earnings potential of the third-party foundry buildout, a contrast to TSMC's established position. Seaport Global downgraded Intel to Neutral from Buy, while KGI Securities announced a $95.00 per share price target.
At the time of this announcement, INTC was trading at $68.67 on NASDAQ in the Technology sector, with a market capitalization of approximately $486.7B. The 52-week trading range was $32.89 to $142.35. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Benzinga.