Intel Corp (NASDAQ: INTC) shares are extending their aggressive rally Tuesday afternoon, trading over $43, a gain of over 20% in just five days.
The semiconductor giant is riding a wave of optimism sparked by reports that it may reclaim its most famous lost client, Apple Inc (NASDAQ: AAPL). Here’s what investors need to know.
What To Know: According to analyst Ming-Chi Kuo, Apple has reportedly signed a non-disclosure agreement to evaluate Intel's advanced “18A” manufacturing process.
The rumors suggest Apple could outsource production of entry-level M-series chips to Intel foundries by 2027. While the projected volume of 15–20 million units is modest relative to Apple's total output, the strategic implications are monumental.
This development marks a potential stunning reversal in Silicon Valley history. Apple famously severed ties with Intel in 2020, replacing Intel CPUs with its own ARM-based “Apple Silicon” because Intel's stagnation had begun bottlenecking Mac performance.
For Intel to win back Apple orders now would be the ultimate validation of its pivot to the foundry model. It signals that Intel's manufacturing capabilities have sufficiently recovered to meet the exacting standards of the world's most demanding tech hardware company.
Beyond technical validation, the move aligns with a geopolitical necessity. As Washington pushes for “ Made in America” supply chains to reduce reliance on Taiwan's TSMC, an Apple-Intel partnership would become the poster child for US semiconductor independence, potentially supercharging Intel's reputation.
INTC Price Action: Intel shares were up 9.00% at $43.62 at the time of publication on Tuesday. The stock is trading at a new 52-week high, according to Benzinga Pro data.
Currently, Intel is trading approximately 17.1% above its 50-day moving average and a significant 66.3% above its 200-day moving average. These indicators suggest a robust upward trend, signaling bullish momentum in the stock.
The recent price action also indicates that the stock has broken through previous resistance levels, which may attract further buying interest.