Shares of Intel fall about 14% after the chipmaker reports mixed fourth-quarter and full-year 2025 results alongside a cautious outlook. Investors react negatively to guidance that signals continued pressure on revenue and margins amid operational challenges.
Intel points to ongoing supply constraints and manufacturing issues that limit its ability to fully meet demand, particularly for advanced chips used in artificial intelligence and data center applications. The company says production improvements are expected later in the year but acknowledges near-term execution risks.
The selloff highlights market concern over Intel’s ability to compete effectively in a rapidly evolving semiconductor landscape. Despite long-term investments in new process technologies and AI-focused products, short-term uncertainty weighs on investor confidence.