Intel shares fall back to April levels after losing over half their value in five weeks
The chipmaker’s stock has plunged from around $127 in late September, with a single-day decline of nearly 29% last Friday accounting for much of the latest sell-off. The drop followed a weaker-than-expected fourth-quarter outlook and warnings about manufacturing constraints and PC demand.
Intel shares continued to decline on Monday, extending a sharp sell-off that has erased nearly half the chipmaker’s market value in just over five weeks and brought the stock back to its lowest level since April.
The shares were trading at around $60 in Monday’s session, after closing Friday at $65.76, a 28.6% plunge that marked their steepest one-day decline since 1974. The stock has fallen from around $127 in late September, before the latest slide began, leaving it over 50% below that level. Monday’s decline added to losses accumulated over the previous several weeks, with much of the damage concentrated in Friday’s session.
The reversal has been particularly striking given Intel’s performance earlier this year. The stock had rallied sharply through the first half of 2026, reaching a record high in June as investors bet that demand for AI infrastructure and server processors could help revive the company’s fortunes. Even after the recent losses, Intel remains around 50% higher than where it began the year.
The latest sell-off followed Intel’s third-quarter results and a disappointing outlook for the final months of the year. While revenue rose 21% year over year to $16.5 billion and data-center revenue climbed 78% to $7.3 billion, the company forecast fourth-quarter revenue of $15 billion to $16 billion, well below Wall Street expectations of approximately $17 billion.
Intel also warned that the PC market slowdown could continue through the first half of 2027. Rising memory prices are making computers more expensive and weighing on demand, while manufacturing constraints have limited the company’s ability to meet strong orders for server processors. CEO Lip-Bu Tan told analysts that the company was facing supply shortages, an unprecedented memory crunch and weaker PC demand.
The outlook also reflects the impact of the fatal explosion at Intel’s Kiryat Gat plant in Israel earlier this month. The facility was shut down for around two weeks, and Intel has said the disruption is expected to reduce revenue by approximately $600 million over two quarters while also limiting supplies of AI server chips.
The market reaction was severe despite the improvement in several of Intel’s third-quarter financial measures. The company reported adjusted earnings of 52 cents per share, above expectations, and its data-center business recorded its strongest revenue growth in 15 years. But investors focused on the near-term constraints, the weaker PC outlook and the scale of the spending required to expand manufacturing capacity.
