Over 10 brokerages have raised price targets or ratings for Intel in the past two months, signalling rising expectations.
Intel shareholders are increasingly optimistic ahead of the chipmaker’s fourth quarter results, betting that CEO Lip Bu Tan’s turnaround efforts are beginning to take hold as rapid data centre build outs lift demand for its server processors.
The company is set to report results after markets close on Thursday, with analysts expecting its data centre business to post a more than 30% rise in revenue to $4.43 billion for the quarter ended December, according to LSEG data. Sales in Intel’s personal computer unit are forecast to increase 2.5% to $8.21 billion.
Investor confidence has been fuelled by a series of high profile investments secured last year, including $5 billion from NVIDIA and $2 billion from SoftBank, alongside support from the US government. The funding has strengthened Intel’s balance sheet and given Tan room to overhaul manufacturing operations, reset its artificial intelligence strategy and streamline what he has described as an overly complex management structure.
Intel shares gained 84% in 2025, sharply outperforming the semiconductor index’s 42% rise, after the stock slumped in 2024 following years of execution issues, a failed AI roadmap and thousands of job cuts. At least 10 brokerages have raised their price targets or ratings over the past two months, signalling rising expectations.
The rebound is being driven largely by strong demand from big technology companies building advanced data centres that require Intel’s traditional server chips alongside graphics processors from rivals such as Nvidia. Analysts expect further pricing upside in server CPUs next year.
Intel continues to lose PC market share to AMD and Arm, while rising memory prices could weigh on laptop demand. UBS expects global PC shipments to fall in 2026, though Intel’s new Panther Lake chips, built on its 18A manufacturing process, may help stabilise performance and attract future foundry customers.
