Intel jumps 14% to $123.82 as Meta's Muse AI lifts chip demand hopes

Intel's rally comes as the company remains in turnaround mode, with revenue of about $52.9B over the last year but negative net income and thin operating margins. The stock has run from the high-$90s to the $120 area over recent weeks, a sharp upward move built on higher lows stacking from $97 to $101, then $109, and above $116.

The catalyst was Meta's Muse AI agent, which showed what "agentic" AI can do and focused trader attention on the idea that these workloads depend heavily on CPUs in data centers, not only on GPUs. That narrative directly favors Intel's core server CPU franchise.

The move also unfolded alongside a broader semiconductor breakout, with AMD, Nvidia, Arm, and Qualcomm all rallying as the Nasdaq hit a record. A Trump–Xi meeting centered partly on AI and trade added to the momentum, while falling crude oil prices and lower Treasury yields eased pressure on growth names. Intel was not just tagging along — it ranked among the strongest mega-cap chip names by percentage move and market-cap contribution.

Whether the rally holds appears to hinge on whether AI enthusiasm persists or guidance disappoints, especially given Intel's rich revenue multiple and still-negative earnings. The weekly gain of about 13% and strong closes near highs suggest aggressive accumulation, but high expectations can reverse quickly in a sentiment-driven trade.