New York, May 16, 2026, 07:36 (EDT)
- Intel ended Friday at $108.77, dropping 6.2% as chip stocks fell before the weekend.
- Intel shares gave up nearly 13% from the May 8 close, erasing a quick pop on signs of a chip deal with Apple.
- Monday, traders watch if AI-chip stocks can stabilize and if Intel offers anything beyond deal news.
Intel shares finished the week deep in the red after a volatile stretch. Friday’s drop left investors deciding if this was just profit-taking after a sharp rally, or if it signaled trouble for the turnaround crowd.
Intel shares finished Friday at $108.77, down from $129.44 at the May 11 close and off for three straight sessions heading into the weekend. Since the May 8 close, the stock dropped about 12.9%. The big themes are still there—AI demand, talk of a possible Apple manufacturing deal, and CEO Lip-Bu Tan working to turn Intel into a foundry, producing chips for others.
Nasdaq is paused for the weekend, with trading set to start again Monday at 9:30 a.m. ET. The break lets traders adjust their takes on a stock that’s shifted from a chip turnaround laggard to a momentum name.
Intel shares got a boost early last week after Reuters said, picking up a Wall Street Journal report, that Intel landed a preliminary agreement to produce some chips for Apple devices. The report pointed to potential upside for Intel’s foundry arm and for U.S. chipmaking efforts, but left out details on which chips, how many, or when.
Wall Street slipped Friday as inflation worries came back. Oil and Treasury yields went up, Reuters said, and the Philadelphia Semiconductor Index dropped 4%. Nvidia lost 4.4%. AMD sank 5.7%, and Intel was down 6.2%. “The market had gotten way ahead of itself” in the AI trade, said Kenny Polcari, chief market strategist at Slatestone Wealth. Reuters
Intel lost more market share in server CPUs during the first quarter, according to a UBS note cited by Investing.com. Intel’s share dropped to 54.9%, while AMD’s grew to 27.4% and Arm moved up to 17.7%. “Arm and AMD units outgrew and continued to gain share at the expense of Intel,” UBS analyst Timothy Arcuri said in the note. Investing.com
Intel’s big challenge is still ahead. AI server demand is helping chip stocks, but investors want to see Intel hold onto its CPU share, even while it tries to grow its foundry business. Reuters columnist Max Cherney quoted SemiAnalysis President Doug O’Loughlin: “TSMC is the real bottleneck.” But Seaport Research analyst Jay Goldberg said, “No company in history has ever fallen off the Moore’s law curve and made it back on.” Moore’s law says chip power should rise fast as chips get smaller. Reuters
Intel stock can jump or drop fast, judging by the company’s numbers. First-quarter revenue came in at $13.6 billion, up 7% from last year. Intel guided for second-quarter sales between $13.8 billion and $14.8 billion. Tan pointed to the “growing and essential role of the CPU in the AI era.” CFO David Zinsner said results were helped by stronger demand and better supply. Intel Foundry lost $2.4 billion in the quarter. Intel said that’s an improvement over the prior quarter. Intel Corporation
Positioning is a concern. Bloomberg said Intel’s rally since late March boosted its market cap by over $440 billion, while short sellers have racked up more than $12 billion in paper losses, even with short interest close to a 52-week high. The stock can swing sharply in either direction as a result.
But investors may have moved too fast, paying up for a turnaround that could take years. A limited Apple deal, softer server numbers, higher costs or rising yields might push funds to reduce Intel exposure. If AI spending slows or orders slip, the focus goes right back to Intel’s foundry losses.
Intel’s Friday range ran from $105.02 to $110.57 on Investing.com, with Thursday’s $115.93 close showing where the recovery could aim. Before next session, traders will be tracking chip futures, Treasury yields, oil and any updates about Apple or Intel’s other foundry customers.
Intel faces a shaky outlook in the short run. The stock looks ready for uneven or lower action on Monday unless the semiconductor index firms up and rates stabilize. If Intel can stay above Friday’s low, that could slow heavier selling, but if it drops below, it signals the Apple-deal premium is still getting priced out. Climbing back toward $115.93 wouldn’t resolve the reversal, but it would signal there are still buyers in the name.
