SANTA CLARA, California, May 6, 2026, 06:09 PDT
- Intel climbed in U.S. premarket hours after AMD’s forecast sparked renewed buying in chip stocks linked to AI infrastructure. Reuters
- Apple has reportedly discussed the possibility of producing its device chips in the U.S. with Intel and Samsung, according to Bloomberg—a move that could lessen its dependence on TSMC. Bloomberg
- Intel shares have surged about 170% this year, which leaves investors asking a simple question: can the company’s AI and foundry push justify that price? The Motley Fool
Intel stock climbed ahead of Wednesday’s U.S. open, pushing its recent rally further as AMD’s bullish outlook fueled hopes that AI-driven demand is spreading past Nvidia’s GPUs and into the server processor segment—where Intel is a heavyweight. According to Reuters, Intel was up 6% premarket. AMD, meanwhile, surged close to 18%. Reuters
The timing isn’t just coincidence. Intel’s stock jump has moved beyond recovering lost ground after years of lagging on manufacturing and ceding share. Now, investors are betting on a broader AI ramp-up—where CPUs, the workhorse chips behind servers and PCs, share space in data centers alongside GPUs. Reuters
Intel’s getting fresh attention from investors, as Apple reportedly explores bringing more chip production stateside. According to Bloomberg, Apple has held initial discussions with Intel about tapping its chipmaking services, and company executives have toured a Samsung facility still under construction in Texas. Bloomberg
Intel set the pace with first-quarter results that gave the rally its footing. Revenue came in at $13.6 billion, marking a 7% increase over last year. Data Center and AI revenue landed at $5.1 billion, up 22%. Intel Foundry, responsible for chip manufacturing both in-house and for external clients, booked $5.4 billion, up 16%. Intel Corporation
Chief Executive Lip-Bu Tan described the opportunity as a transition “from foundational models to inference to agentic,” pointing out that this evolution is pushing up demand for Intel CPUs, wafers, and advanced packaging. Inference, in this context, is when pre-trained AI models are actually put to use, as opposed to being built from the ground up. Agentic AI, for its part, covers systems capable of planning and executing tasks with less intervention from humans. Intel Corporation
Intel is touting new wins with customers. The company says Nvidia tapped its Xeon 6 chips as the host CPU in DGX Rubin NVL8 systems, and it’s also broadening a multiyear partnership with Google to supply Xeon processors for various cloud workloads. Intel Corporation
AMD hasn’t gone anywhere as a threat. The company now sees the server CPU market expanding at a clip of more than 35% annually through 2030—well ahead of its prior 18% growth view. Reuters reported that AMD’s data-center revenues surged 57% in the first quarter to $5.8 billion. “AMD’s story is no longer just about having a GPU pipeline to challenge Nvidia,” said Matt Britzman, senior equity analyst at Hargreaves Lansdown. He called it a broader compute opportunity. Reuters
Apple’s involvement ups the ante for Intel’s foundry ambitions. In the foundry world—where companies manufacture chips for others—Taiwan Semiconductor Manufacturing Co. still dominates. Apple’s discussions with Intel are still at an early stage, according to Bloomberg, but if any deal happens, it would serve as a real-world test of Intel’s ability to deliver for outside clients, not just its own lineup. Bloomberg
The catch: shares may have outpaced the company’s fundamentals. In the first quarter, Intel posted a GAAP net loss of $3.7 billion and reported negative $2.0 billion in adjusted free cash flow. Non-GAAP net income, though, climbed to $1.5 billion. Intel Corporation
Not everyone’s eager to jump in. D.A. Davidson’s Gil Luria and his team, cited by Investopedia, flagged Intel’s valuation as “stretched.” Jefferies is sticking to its neutral rating, writing, “We need to see more traction at larger customers to be optimistic.” Citi’s view diverges: the firm upgraded Intel to buy, citing the potential in Terafab’s foundry business as a key driver. Investopedia
Intel dropped 3.9% Monday, according to Barron’s, snapping back after a 160% surge in 2026—underscoring just how wild the stock’s moves can be. HSBC analysts say Intel has a shot at clawing back server CPU share from AMD, assuming its own foundry capacity translates into actual unit growth, but they warn the upcoming quarters will be key to watch. Barron’s
Right now, Intel’s back in focus. The challenge: translating AI buzz, word of Apple discussions, and foundry hopes into real orders, fatter margins, and cash flow that justifies a stock that’s shed its turnaround discount.
