Intel Shares Surge 11% to Four-Year High Ahead of Earnings Report

Intel's stock soared 11% on Wednesday, reaching its highest level since January 2022, as investors positioned themselves ahead of the chipmaker's fourth-quarter earnings report. The shares closed above $54, marking a staggering 149% gain over the past 12 months. Trading volume spiked to 217.5 million shares, well above the daily average.

Analysts attribute the rally to robust demand for server chips and heightened AI infrastructure spending. KeyBanc upgraded Intel to a buy rating, citing sold-out server CPU inventory for 2025. The firm anticipates strong data center demand from hyperscalers to further bolster Intel's performance. Government and institutional investments, including an $8.9 billion infusion from the U.S. and $5 billion from Nvidia, have also fueled optimism.

While Q4 revenue is projected to decline 6% year-over-year to $13.4 billion, data center sales could jump 29% to $4.4 billion, reflecting shifting market dynamics.