Intel CorporationINTC
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Semiconductors
Intel CorporationIntel CorporationIntel shares dropped 35.4% in July as investors worried about the company's rising capital expenditures. The semiconductor giant plans to spend more than $20 billion in capex this year, and said 2027 spending will be significantly above the 2026 levels. The sell-off was part of a broader decline in chip stocks, with 20 of the world's largest semiconductor companies losing a cumulative $1 trillion in value by the end of July. Intel's foundry sales rose 31% to $5.8 billion in the second quarter, but questions remain about whether heavy investments in new manufacturing processes will attract enough large customers. Even after the decline, Intel's price-to-earnings ratio stands at 88, far above the tech sector average of 34.
Intel Corporation