Shares of Intel have surged over 80% in value for 2025 after a substantial rally in recent months, spurred by high-profile deals and strategic partnerships. The company is set to announce its quarterly earnings after the market closes on Thursday, amidst increasing anticipation from investors and analysts alike.
Wall Street is optimistic that Intel, which has faced challenges in recent years, will report a slight profit of 2 cents per share after recording losses in the previous two quarters. This expected shift to profitability comes as analysts project revenues of around $13.17 billion, marking a marginal decline of less than 1% from the same period last year.
The dramatic rise in Intel’s stock has coincided with a significant investment from the federal government, which acquired a 10% stake in the company. Additionally, a collaborative agreement with Nvidia has further fueled speculation about future opportunities for growth. While this optimism has been prevalent, some investors have expressed concerns that the stock may have surged too rapidly, with indications that fluctuations of up to 10% could occur following the earnings report due to heightened investor expectations.
Investor sentiment appears mixed, as many analysts maintain neutral ratings pending further evidence of customer commitments to Intel’s manufacturing capabilities. However, the potential announcement of a new artificial intelligence client, with Microsoft being a rumored candidate, could be pivotal. Securing such a partnership alongside its earnings release could change the outlook for Intel and potentially convert skeptics into believers.
The upcoming earnings report not only represents a critical moment for Intel but also serves as a potential turning point for its future trajectory within the competitive semiconductor market. Analysts and investors alike eagerly await the outcome to gauge the company’s progress and determine whether the recent surge in stock price reflects long-term viability or fleeting momentum.