New York, Jan 12, 2026, 09:45 ET — Regular session
- Intel shares dropped roughly 1.8% in early trading, following a strong rally last week.
- Susquehanna raised its price target to $40 but held on to its Neutral rating; Truist maintained its Hold stance.
- Investors are keenly awaiting concrete evidence that Intel can convert its manufacturing plans into actual outside foundry contracts.
Intel Corp shares slipped 1.8% to $44.73 Monday morning, pressured by cautious analyst commentary following last week’s surge in the chipmaker’s stock. The wider market showed weakness as well, with the SPDR S&P 500 ETF falling roughly 0.4% and the iShares Semiconductor ETF retreating about 0.7%.
The dip is significant because Intel’s rally owes more to a long-term wager than to immediate earnings. Investors are banking on its manufacturing revival and U.S. political support to reshape outlooks for 2026 and later. Monday’s trading highlighted how swiftly that optimism can clash with lingering doubts over demand and execution.
Price targets reflect where analysts expect a stock to trade over the coming year. They’re not predictions for next quarter’s results, and Intel is still working to demonstrate it can deliver on both fronts.
On Monday, Susquehanna analyst Christopher Rolland bumped his price target to $40 from $35 but stuck with a Neutral rating, citing challenges in PCs and data centers. Truist’s William Stein held firm on a Hold rating and a $39 target, slashing his 2026 EPS forecast to 64 cents. Stein noted Intel told him it remains “capacity constrained,” with supply expected to be tightest in Q1.
The stock jumped late last week after President Donald Trump posted on social media, praising Intel CEO Lip-Bu Tan following their meeting. He also pointed out the U.S. government’s 10% stake in the company—marking a shift from his earlier criticism. 1
Tan has doubled down on Intel’s foundry push — aiming to build chips for outside clients, not just its own products. In an Intel News video, he announced the company was “going big time into 14A,” referring to the next-gen manufacturing process. He also highlighted efforts to boost yields and sharpen intellectual property “to serve the customer well,” wording that some analysts read as a nod to potential external customers. 2
At CES in Las Vegas, Intel introduced its Core Ultra Series 3 PC processors, marking its first compute platform based on Intel 18A technology. The company anticipates global availability starting Jan. 27. An Intel executive described the firm’s approach as “laser focused” on power efficiency and performance, aiming to bring “AI PC” capabilities to mainstream laptops. 3
Traders face a straightforward dilemma. Intel must gain traction in PCs and servers, yet a supply crunch early in the year could limit gains despite steady demand — and the foundry business is still measured by its ability to secure big external clients with substantial volume.
Still, the stock’s recent surge narrows the margin for error. Should PC demand ease up, data-center rivals press harder, or anticipated foundry contracts fall through, investors might swiftly pull back. That’s particularly true given the scrutiny on Intel’s guidance and capacity strategies.
Intel will release its Q4 and full-year 2025 earnings after the market closes on Jan. 22, followed by an earnings call at 2 p.m. PT. Investors will focus on specifics around 2026 supply, trends in PCs and servers, and if the foundry roadmap is securing customer deals. 4
