Intel stock drops 28 percent, cuts government stake value
TechCrunch: Intel’s stock crashes, knocking $12B from government’s stake
Intel is being hurt by PC sales as the AI industry gobbles memory and other components causing PC prices to rise.
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Intel's stock dropped approximately 28% on Friday after the chip company reported weaker-than-expected financial guidance, reducing the government's $12 billion stake in the company. The Trump administration had purchased a 10% stake in Intel over a year ago, and Nvidia also holds a stake acquired in 2025. Intel warned investors that revenue would fall short of analyst expectations and that gross profit margins would decline significantly, citing PC sales slowdowns caused by high memory prices driven by AI industry demand for components.
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