INTC stock today soars over 7% after analyst upgrade – could Intel surpass Samsung as the no. 2 chip foundry supplier?

INTC Intel stock today: Intel Corp (INTC) shares rose more than 7% on Tuesday after a Wall Street analyst upgraded the stock, pointing to progress in the company’s advanced chipmaking technology that could allow Intel to move ahead of Samsung as the world’s second-largest chip foundry, behind Taiwan Semiconductor Manufacturing, as per a report.

INTC Stock Today: Intel Stock Jumps After Analyst Upgrade, Raises Price Target

KeyBanc Capital Markets analyst John Vinh upgraded Intel stock to overweight from sector weight and raised his price target to $60 from $40, as per a report.

Intel Seen as Potential No. 2 Foundry Ahead of Samsung

In a client note, Vinh highlighted Intel’s advances with its 18A process node, saying that the progress of the 18A-node chipmaking process is "enough to convince us it could credibly be the No. 2 foundry supplier in the industry ahead of Samsung," as quoted by IBD.


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According to Vinh, Intel’s yields on the 18A node have improved to over 60%. Intel is already using the process to manufacture its Panther Lake central processing units, which will be sold under the Intel Core Ultra Series 3 brand, as per the IBD report.

He said, "While not best in class, as TSMC was at 70%-80% when it launched 2-nanometer (chip production), with Intel's aspirations of being the No. 2 foundry supplier, 60%+ yield is significantly better than SF2 at Samsung Foundry, which we believe is less than 40%," as quoted by IBD.

Apple Emerges as Key Customer for Intel’s 18A Node

The analyst also pointed out that Intel has landed Apple as a customer for its 18A process, with plans to produce low-end M-series processors for Apple’s MacBooks and iPads. Those chips are expected to enter production in 2027. In addition, Intel is in talks with Apple to use its future 14A process to support low-end A-series processors for iPhones in 2029.

Intel’s EMIB-T Packaging Draws Interest From Cloud Giants

Vinh added that Intel’s EMIB-T advanced packaging technology is being closely evaluated by major hyperscale cloud providers, including Amazon, Google and Meta Platforms, for use in data center chips, as per the IBD report.

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Trump Praises Intel’s Role in US Chip Manufacturing Push

Meanwhile, even US president Donald Trump praised Intel recently, saying, "The United States government is proud to be a shareholder of Intel … Our country is determined to bring leading-edge chip manufacturing back to America, and that is exactly what is happening!" as quoted by IBD.

FAQs

Why did Intel stock rise today?
Intel shares jumped after an analyst upgraded the stock and raised its price target.

Who upgraded Intel stock?
KeyBanc Capital Markets analyst John Vinh upgraded Intel to overweight.