Intel shares tumble nearly 24% after weak Q4 forecast amid PC slowdown

Intel’s share price fell almost 24 % in pre‑market trading on 30 October after the chipmaker issued a weaker‑than‑expected fourth‑quarter revenue outlook.

The US semiconductor group said it expects revenue of $15 billion to $16 billion in the upcoming quarter, below analysts’ forecast of about $17.1 billion for Q4. Intel reported third‑quarter revenue of $16.5 billion, a 21 % increase year‑on‑year and in line with its own guidance.

Revenue from the client computing and physical AI division slipped 5 % to $8.1 billion, while the data‑centre and AI segment rose 78 % to $7.3 billion. CEO Lip‑Bu Tan said the growth reflected “improving execution” and “meaningful progress expanding supply”, adding that demand for its CPUs remains “robust” despite “near‑term headwinds across the PC industry”.

Intel CFO David Zinsner warned that the PC slowdown is likely to continue through the first half of next year. Counterpoint Research data shows global PC shipments fell 21 % in Q3 year‑on‑year and predicts a further 27 % drop in sales for the next quarter.

Earlier this month Intel announced the acquisition of Israeli quantum firm Classiq to build a full‑stack quantum computing platform, and in August completed a $23 billion public equity offering to fund future growth. The company also reduced its workforce by about 1,200 staff between late June and September.

Source: Silicon Republic. Photo: Blackcurrant Great / Pexels.