INTC stock jumped over 10% today: What's driving Intel stock rally ahead of earnings tomorrow

INTC stock today: Intel (INTC) shares surged more than 10% on Wednesday as investors grew increasingly confident that the turnaround promised by Chief Executive Lip-Bu Tan may finally be taking hold, marking a level of optimism not seen in several quarters, as per a report.

INTC Stock Surges as Investors Back Intel’s Turnaround Strategy

The rally reflects renewed faith in Intel’s core business, particularly as rapid data center buildouts are driving strong demand for its traditional server chips. Shareholders are betting that these trends, combined with recent strategic changes, are helping the chipmaker regain momentum after a difficult period.

Intel Shares Rise Ahead of Fourth-Quarter Earnings Report

Intel’s stock had gained 84% in 2025, significantly outperforming the Philadelphia Semiconductor Index, which was up about 42%, as per a Reuters report. The company is set to report its fourth-quarter results after markets close on Thursday, adding to investor anticipation.


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Why INTC Outperformed the Semiconductor Market in 2025

Confidence has also been bolstered by a series of high-profile investments orchestrated by Tan last year. Intel received $5 billion from Nvidia and $2 billion from SoftBank, alongside a stake from the US government, as per the Reuters report. These investments have strengthened Intel’s balance sheet and given management greater flexibility to reshape its manufacturing and artificial intelligence strategy.

Can Intel Stock Sustain Momentum After Its Recent Rally

The backing follows a steep share-price decline in 2024, when years of management missteps, including a flawed AI roadmap, led to competitive losses and thousands of job cuts. Tan has since moved to overhaul Intel’s chipmaking operations and streamline what he described as a bloated management structure.

Ryuta Makino, an analyst at Intel investor Gabelli Funds, said, "It's the most optimistic, I think, people have felt about the company in a long time; the near-term dynamic's set up very well," as quoted by Reuters.

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Intel’s Data Center Growth Becomes a Key Driver for INTC

At least 10 brokerages have raised their price targets or ratings on Intel in the past two months. Analysts expect Intel’s data center business to post a more than 30% jump to $4.43 billion for the December quarter, as per LSEG data, driven by demand from large technology companies building advanced data centers that require Intel’s server chips alongside GPUs from rivals such as Nvidia. Sales in Intel’s PC unit are expected to rise 2.5% to $8.21 billion, as per the Reuters report.

INTC Stock Gains Despite Ongoing PC Market Challenges

Still, challenges remain. Intel continues to lose PC market share to AMD and Arm, and analysts warn that higher memory prices could dampen PC demand. UBS expects global PC shipments to fall 4% in 2026, as per the Reuters report.

Intel’s Panther Lake Chips and What They Mean for INTC

Intel’s refreshed product lineup, including its new “Panther Lake” PC chips made using its 18A manufacturing process, may help offset some pressures. While manufacturing yields remain a concern, Intel has said they are improving monthly, even as margins are expected to remain under pressure, as per the Reuters report.

FAQs

What should investors watch next for INTC stock?

Intel’s upcoming earnings report will be closely watched for confirmation that the turnaround is gaining real momentum.

Why are analysts upgrading Intel now?

Improving business trends and signs of operational discipline have prompted many brokerages to raise their outlook on the stock.