Intel Stock Surges 220 Percent on AI and Foundry Growth

Intel Corporation experienced a stock price increase of more than 220 percent in 2026, becoming the sixth-best-performing stock in the S&P 500. This growth followed a 59 percent year-over-year increase in the company's data center and AI product segment during the second quarter.

The company is pursuing a turnaround of its semiconductor foundry business centered on its advanced 18A chip node. This effort is supported by investments from the Federal government of the United States and Nvidia Inc. Intel also reportedly secured an agreement with Apple Inc. to serve as a second supplier for some of its products.

Despite these operational gains, the stock currently trades at a high valuation of 81 times this year's earnings estimates. This valuation is significantly higher than that of its primary competitor, Taiwan Semiconductor Manufacturing Company.