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Intel (Intc) Start Friday was on its way to broken his best week in almost 40 years before the rally sputtered.
Shares fell 2%on Friday. That still had the shares with 23.6% since the beginning of the week-one solid return, although less than the nearly 30% weekly profit that was seen earlier on Friday, which would have marked the best five-day piece of stock since 1987 .
Intel was one of the worst performing shares in the S&P 500 last year, when shares lost 60% of their value and the legendary American chip maker was dropped from the Blue chip Dow. The company has difficulty keeping up with the competitors in the race to develop AI chips and has invested billions in an uncertain Turnaround plan.
Shares received a boost at the beginning of this week when Vice President JD Vance, speaking at an AI conference in Paris, said the Trump administration would take steps to ensure that AI chips were designed and produced in the foundry of the American Intel, who produces chips for third parties, could benefit from Trump who forces technology companies to manufacture their technology in their own country. Intel Foundry was a big gamble from the former CEO Pat Gelsinger who lost more than $ 13 billion last year.
The stock received a boost of speculation this week that Intel can work with Taiwan Semiconductor Manufacturing Co. (TSM), The world’s largest chip manufacturer and large Intel Foundry competent, to manufacture chips in the US and to benefit from protectionist policy that is implemented by Trump and former President Joe Biden.
Citi analysts said on Thursday that they were not optimistic about the benefits of such a scheme; In their opinion, Intel would have difficulty adapting to the processes and work schemes of TSMC. “We still believe that Intel should leave the foundry,” they concluded.
The TSMC rumor was only the newest in a series of rumors-ups. Qualcomm (Qcom) Allegedly Intel approached last year to propose a takeover, and analysts speculated that Broadcom (AVGO) could be interested in acquiring the company.
UPDATE – February 14, 2025: This article has been updated to display the closing price of Intel on Friday.
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