Intel Shares Plummet 20% After Weak Revenue Forecast

Intel Corp. shares fell approximately 20% in extended trading on Thursday after the company issued a fourth-quarter revenue forecast of $15 billion to $16 billion, falling short of analyst expectations of $17 billion. The company attributed the weak guidance to a prolonged global PC market slowdown caused by high memory chip prices, which forced manufacturers to raise prices and reduce shipments.

Financial losses were further compounded by an explosion at a manufacturing facility in Kiryat Gat, Israel, which killed two workers and forced a two-week production halt. Intel expects the incident to result in approximately $600 million in lost revenue over two quarters.

Despite these challenges, the company reported third-quarter revenue of $16.51 billion, a 21% year-over-year increase. This growth was primarily driven by a 78% surge in data center and AI revenue, which reached $7.3 billion. CEO Lip-Bu Tan is currently leading a turnaround strategy focused on expanding the company's foundry business and increasing manufacturing capacity. The Federal government of the United States remains the company's largest investor, holding a nearly 10% stake acquired in 2025.