Intel Stock (INTC) Surges on Apple Funding Rumors Amid Strategic Pivot
Intel Corporation (INTC) shares rallied nearly 20% last week following reports of potential capital injections from Apple (AAPL) to support the chipmaker's turnaround. The move aligns with Intel's strategy to secure external funding, having already attracted $2 billion from SoftBank and $5 billion from Nvidia (NVDA). The U.S. government's controversial 10% stake acquisition further bolsters Intel's financial position.
While Intel's strategic focus on core operations and asset divestitures signals progress, execution risks remain. The company projects $18 billion in capital expenditures for 2025, underscoring its ambitious growth plans under new leadership. Market sentiment has shifted to neutral after a 50% rally over the past year, reflecting cautious Optimism about Intel's restructuring efforts.