shares plummeted roughly 29% on Friday to $65.76, down from Thursday's $92.07 close. Despite reporting third-quarter revenue of $16.5 billion—a 21% year-over-year increase—and adjusted EPS of $0.52, the company's outlook fell short of analyst expectations.
The Data Center and AI segment grew 78% to $7.3 billion, but Client Computing Group revenue fell 5% to $8.1 billion. Intel projects fourth-quarter revenue between $15 billion and $16 billion, missing the $17 billion consensus, with margins dropping to 38%.
A plant shutdown in and a projected 12% PC market contraction in 2026 weigh on the firm. CFO David Zinsner expects the PC slowdown to persist through mid-2027, while CEO aims to prioritize increasing the supply of chips to offset losses.