tech
January 23, 2026
Intel stock drops 17%, its worst day since 2024, as manufacturing troubles overshadow earnings beat
Over the last year, Intel shares have rallied more than double on hopes of a turnaround for the embattled American chipmaker.
TL;DR
- Intel stock fell 17% after issuing lackluster guidance and warning of a supply shortage.
- CEO Lip-Bu Tan stated that Intel cannot meet full demand and production efficiency is below targets.
- First-quarter revenue guidance of $11.7 billion to $12.7 billion and break-even adjusted earnings per share missed LSEG expectations.
- Over the past year, Intel shares had rallied significantly on hopes of a turnaround, boosted by investments from the U.S. government, SoftBank, and Nvidia.
- Investors are seeking progress on foundry customers as the next driver for the stock, with CFO David Zinsner expecting customers for 14A technology in the second half of the year.
- Analysts from RBC Capital Markets and Jefferies expressed skepticism about the company's future revenue contributions from foundry customers and its AI strategy.
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