Intel slumps after Q1 guidance disappoints
The bad outlook offset strong Q4 results.
Intel’s red-hot start to 2026 has hit a serious road bump after the chipmaker’s Q1 outlook undershot expectations, with the company’s stock plunging as much as 14% in early trading on Friday. Weak guidance overshadowed what was a solid set of Q4 results, which included top- and bottom-line beats.
Intel Q4 revenue came in at $13.7 billion vs. the $13.44 billion FactSet consensus expectation.
Adjusted earnings per share were $0.15 vs. the $0.08 consensus estimate from FactSet.
However, Intel gave Q1 2026 sales guidance of between $11.7 billion and $12.7 billion ($12.2 billion midpoint) vs. a consensus expectation of $12.57 billion. The company also sees adjusted earnings per share breaking even in Q1, while Wall Street had anticipated $0.08.
On the conference call, CEO Lip-Bu Tan said that it would take “time and resolve” to turn the company around.
The chipmaker is linking the soft outlook to supply constraints, with CFO David Zinsner saying, “We expect our available supply to be at its lowest level in Q1 before improving in Q2 and beyond.”
Shares of Intel — which was partially nationalized by the Trump administration in August — had exploded out of the gates in 2026, rising nearly 50% since the start of the year, as retail traders appear to be increasingly interested in both shares and options. As of the end of trading on Wednesday, it was the third-best year-to-date performer in the S&P 500.
