Intel stock plunges 21% as chipmaker blames PC slowdown for weak guidance - CNBC
Intel shares dropped over 20% after the company issued a weak fourth-quarter forecast, citing a continued slowdown in the global PC market. Despite growth in data center and AI revenue, the company faces significant challenges, including a factory accident in Israel and ongoing supply chain pressures.
Why it matters
Intel's performance is a key indicator for the broader semiconductor industry and the health of the global PC market.
Intel shares plummeted more than 20% in extended trading on Thursday after the chipmaker issued a weak fourth-quarter forecast, citing continued softness in the global PC market.
Here's how the company did in the third quarter, compared with estimates from analysts polled by LSEG:
Revenue climbed 21% from $13.7 billion a year earlier, the company said in a press release.
However, revenue in Intel's client computing and physical AI group fell 5% from the same quarter a year ago to $8.1 billion, missing estimates, even as data center and AI revenue jumped 78% to $7.3 billion.
Global PC shipments declined 4% in the second quarter from a year earlier due to soaring costs for memory and other components, according to Counterpoint Research .
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