Intel (INTC) forecast for the final three months of the year came in below Wall Street estimates, and its stock fell as much as 26%. Adjusted EPS beat estimates and revenue was roughly in line, while data center revenue of 7.32 billion topped expectations of 6.68 billion and rose 78% year over year. The weakness centered on the PC market, prompting questions about whether demand will recover and how memory price increases will affect the business. One commentator compared the outlook miss to Boeing's weak third quarter, saying Intel's leadership did not see it coming and needs to tighten up, though it has built goodwill with investors.
Summary written by Upside AI from the original article. Read the source for full details.
Read the original on Yahoo Finance ↗
Keywords
Intelearningssemiconductorsdata centers
Open a keyword to see other news on the same topic.
Related tickers and likely impact
QQQ
• NeutralInvesco QQQ Trust
Relevance: low
| Market | US stocks |
|---|---|
| Sector | ETF |
| Close on 10/29/2026 | 715.33 |
| Change that session | -1.42% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
Related news
- Intel stock nosedives after posting weak Q4 forecast
Intel (INTC) shares fell as much as 26% after the chipmaker’s fourth-quarter forecast came in below Wall Street estimates. Adjusted EPS beat expectations and revenue was roughly in line, while the data center business posted $7.32 billion versus expectations of $6.68 billion, up 78% year over year. The weakness was in the PC market, raising questions about whether that market will recover and whether rising memory prices will hurt the company. Barron’s associate editor Al Root said Intel appeared to have been caught off guard, and that CEO Lip-Bu Tan has built goodwill with investors but needs to tighten execution.
- Intel Plunges 25% as Weak Outlook and PC Slump Overshadow Earnings Beat; Dell Tumbles 13%, AMD Sinks 10%, NVIDIA Falls 3%
Intel shares fell about 25% in premarket trading to $68.85 after the company posted adjusted EPS of $0.52 for Q3 2026, beating the $0.41 analysts expected, with revenue of $16.5 billion, up 21% year over year. The selloff was driven by weak Q4 guidance: Intel expects revenue of $15 billion to $16 billion versus $17 billion expected, adjusted EPS of $0.25 versus $0.43, and a gross margin of 38%, down from 43%. The company blamed a memory-chip shortage that is raising PC prices, and now projects the PC market to shrink 12% in 2026 and 10% in 2027. Data Center and AI revenue rose 78% to $7.3 billion, while an early-October accident at its Israel factory is expected to cut about $300 million from Q4 revenue. The chip ETF SOXX fell 7%, Dell dropped 13%, AMD 10%, and NVIDIA 3%.
- Intel Server Sales Jump 78%, Q4 Outlook Dims: Rapid Earnings Reaction
Intel reported quarterly revenue of $16.5 billion, up 21% from a year ago, with data center and AI revenue reaching $7.3 billion, up 78%, its strongest data center revenue growth in 15 years. GAAP gross margin rose to 43% from 38.2%, but GAAP EPS fell to $0.60 from $0.90, as last year's quarter included a $5.45 billion gain from selling most of its Altera stake and the diluted share count rose after heavy stock sales, including a $23 billion public offering this quarter. For the fourth quarter, Intel guided revenue to $15.0 billion to $16.0 billion, below this quarter, and GAAP gross margin to 37.1%; the article suggests lower sales spread across fixed costs could explain much of the margin drop, though the company did not explain it. Demand for server chips is outpacing Intel's production, but a PC slowdown is expected to last through the first half of next year. Shares fell about 18% in early after-hours trading.
- Intel stock plunges after posting disappointing Q4 outlook
Intel shares fell about 17% after the chipmaker guided fourth-quarter revenue to $15 billion to $16 billion, well below the $17 billion the street expected. Third-quarter revenue was $16.51 billion, slightly below the $16.54 billion estimate, while adjusted EPS of 52 cents beat the 41-cent estimate. Data center and AI revenue reached $7.3 billion versus $6.7 billion expected, and foundry revenue was $6.7 billion against $6.1 billion estimated. However, the company sees fourth-quarter adjusted gross margin of only 38%, compared with the almost 43% the street was looking for.
- Prediction: Intel Stock Will Take Off After Oct. 29
Intel shares have fallen 31% since the start of July after rising sharply in the first half of 2026. The article argues that third-quarter results due October 29 could support the stock, as demand for server CPUs from AI data centers running inference is outpacing supply, and Intel has raised CPU prices cumulatively by 30% in 2026. Analysts expect third-quarter revenue to rise 21% to $16.5 billion and EPS to reach $0.40, slightly above guidance. The stock trades at just under 50 times forward earnings, compared with 21 times for the Nasdaq-100. SemiAnalysis projects global data center capacity could grow by 51.2 GW in 2027, double the estimated 25 GW addition in 2026.
- Is Intel's Record Sales Growth Still Improving?
Intel (INTC) reported sales up 25.4% in the three months to June from a year earlier, its fastest growth in the last ten years and above the previous high of 24% in the quarter ended March 28, 2020. Across the last forty quarters, the median year-on-year sales rise was only 1.3%. Management attributed the jump to AI-related businesses, including data center chips, which grew more than 70% and now make up about 70% of sales, while the Data Center and Artificial Intelligence unit rose 59%. Average selling prices also increased as Intel sold more pricier chips and raised some prices. Growth was weaker earlier, at -4.1% in the quarter to December 2025 and 7.2% in the quarter to March, and in July management had guided the September quarter to about 1.2% above June at the midpoint, while expecting PC consumption to fall by a low double-digit percentage in 2026.
Related markets
Latest news
- Google lost nearly half a trillion this week. Here's how Mike Khouw is trading it
Alphabet (GOOGL) shares fell over 12% to $285 after its Q3 2026 earnings, wiping out nearly $500 billion in market cap. Cloud revenue rose 103%, but EPS of $2.12 missed the $3.02 estimate and free cash flow turned negative amid heavy AI capital spending. Several firms downgraded the stock or cut price targets, while technical indicators weakened, with the RSI deeply oversold and the MACD showing a sell signal. The author outlines a short strangle strategy expiring December 18, 2026, which would profit if GOOGL stays between $250 and $325, with the main risk being a drop below $250 and an unexpected catalyst pushing shares past $310. The author notes both the short call and short put have a probability of profit close to 90%.
- Binance Sets Aside $6.34B to Cover Hack Losses, CEO Says 'Your Assets Are Safe'
CEO Richard Teng said Binance will cover all hacked losses with company funds, having reserved over $6.34 billion, of which $5 billion is already held in the exact tokens stolen, with the rest being bought through market and OTC channels. The hack hit Binance's hot wallet, and Teng said customer funds were not touched. He said the attacker used a self-destruct mechanism to wipe tools and traces, and an EIP-7702 delegation that bypassed Binance's normal approval controls; TRM Labs and Chainalysis have attributed the theft to North Korean group TraderTraitor. Binance aims to restore withdrawals by Sunday and publish a full proof of reserves by Monday. On Friday, a Tron wallet that Arkham links to the attacker sent about 5.19 million TRX, worth roughly $1.73 million, to 12 addresses.
- Tesla Stock Could Rebound as These 3 Growth Drivers Take Center Stage
Tesla shares rose 9.37% over the past week after third-quarter non-GAAP EPS of $0.48 beat the $0.4511 consensus, and Barclays upgraded the stock to Buy from Hold. The article points to three growth drivers: Robotaxi and FSD, with unsupervised miles up 8x and active FSD subscriptions at 1.74 million; Megapack, with 13.7 GWh deployed and energy gross margin at 33.1%; and Optimus, now in early production in Fremont. 24/7 Wall St. sets a price target of $416.22 against the current $402.55, with a bull case of $473.43 and a bear case of $371.65. Risks include a 55.79% drop in operating income to $718 million and a 61.63% fall in free cash flow, with some energy margin gains from tariff refunds and warranty true-downs that may not repeat. The article says the speed at which Robotaxi generates revenue matters most to the outlook.
- Halloween gets pricier as chocolate costs climb — Hershey may feel the pinch
Americans expect to spend $13.5 billion on Halloween this year, up from last year's record $13.1 billion, according to the National Retail Federation, even as shoppers weigh affordability. Candy and chocolate prices are rising faster than broader food inflation: candy and chewing gum prices were up 7.7% in September from a year earlier, and Halloween chocolate dollar sales fell 7.2% through the nine weeks ended Oct. 17, per NIQ. Wells Fargo estimates chocolate prices will be about 8% higher than last Halloween, as much of the chocolate on shelves was made with cocoa bought six to 12 months earlier and falling cocoa prices have yet to reach stores. Hershey lowered its 2026 organic sales growth forecast to 3% from 3%-3.5%, and Jefferies analyst Scott Marks sees flattish organic growth in the fourth quarter.
- St. Louis Fed's Musalem: Tighter monetary policy is needed 'soon'
St. Louis Fed President Alberto Musalem said in prepared remarks on Friday that additional monetary policy firming will be necessary, 'and soon,' following Wednesday's decision to hold rates steady. His comments bolster investor expectations that the Fed will return to rate hikes at its December meeting, with CME FedWatch pricing roughly a 76% chance of a quarter-point increase. He described the U.S. economy as 'resilient,' pointing to GDP growth of 3.4%, which beat expectations, and an unemployment rate of 4.2%. However, he said inflation is 'too high,' with annual PCE inflation above 3%, and that it could stay above the 2% target unless policy is adjusted. He argued that moving sooner in smaller steps is less disruptive than larger, abrupt actions later.
- Meta allegedly schemed to discredit outspoken NYU professor, unsealed court documents show
Unsealed court documents in ongoing litigation appear to show Meta employees discussing how to undermine Jonathan Haidt, the social psychologist behind 'The Anxious Generation' who criticizes social media's effect on youth and is a professor at NYU's Stern School of Business. The documents, which appear to date from 2023, reference a 'Haidt assignment' aimed at getting the academic community to disavow him, and describe a covert 'whisper strategy' requiring coordination across Policy, Comms and Legal. Meta has faced lawsuits since 2022 alleging youth mental health harms, and it reached a settlement with 52 attorneys general agreeing to pay up to $18.5 billion. An SEC filing says damages sought in its youth mental health cases have at times amounted to more than a trillion dollars.
Get the briefing on Telegram or Zalo
Join the Upside Telegram channel or Zalo group for the Vietnam stocks and gold briefing at 8:00 and 19:00 (Vietnam time) on trading days, plus a weekly wrap on Saturday morning.