Key Highlights

  • Intel (NASDAQ:INTC) fell 28.58 percent on October 30, 2026, its worst day since 1974, after guiding fourth quarter Revenue to USD 15.0 billion to USD 16.0 billion.
  • That guide sits below the USD 16.5 billion Intel reported for the third quarter, up 20 percent year on year, and below the roughly USD 17.1 billion analysts expected.
  • Fourth quarter adjusted Earnings Per Share were guided to USD 0.25 against about USD 0.43 expected, with adjusted gross Margin near 38 percent versus 44.1 percent in the third quarter.
  • Chief Financial Officer David Zinsner said the PC slowdown should last at least through the first half of 2027, linking Demand to memory availability and pricing.

What Intel Reported and Guided

Intel released third quarter results on October 29, 2026, after the close. Revenue was USD 16.5 billion, up 20 percent, and profit beat forecasts. The damage came from the outlook. Fourth quarter revenue of USD 15.0 billion to USD 16.0 billion has a midpoint of USD 15.5 billion, about 9 percent below the roughly USD 17.1 billion consensus, simple arithmetic on two published numbers. Adjusted earnings per share of USD 0.25 compared with about USD 0.43 expected, and earnings per share under accounting rules were guided to USD 0.10. Shares of Intel (NASDAQ:INTC) fell more than 20 percent in after-hours trading on October 29 and closed down 28.58 percent on October 30.

Why Memory Prices Matter for PC Demand

Memory is a core component of every PC, so higher memory prices raise the cost of each machine, push PC makers to raise prices or cut volumes, and reduce orders for processors. Client Computing and Physical AI revenue fell 5 percent year on year to USD 8.1 billion. Intel projects the PC market to fall 12 percent in 2026 and 10 percent in 2027. A lower gross margin guide also reflects fixed factory costs spread over fewer units. Chief Executive Lip-Bu Tan said Data Center results were hit by shortages of some raw materials and a factory shutdown in Israel, while management said data center demand exceeds supply.

Analyst Views and Risks Ahead

Vivek Arya of BofA Securities said Intel (NASDAQ:INTC) has not shown enough traction with external foundry customers and cited fourth quarter PC shipments falling 25 percent to 30 percent from the prior quarter, with further inventory correction expected in the first half of 2027. Baird analysts said easy comparisons will not arrive until the second half of 2027 and expect continued share loss in client and data center. The fall also came as the Philadelphia Semiconductor index lost 7.2 percent, so part of the move reflects sector fear, not only company news. Further guidance cuts remain a risk.

Where Things Stand

A fourth quarter guide below the quarter just reported, plus a margin forecast near 38 percent, turned a third quarter beat into the worst day since 1974 for Intel (NASDAQ:INTC). The sell-off was amplified by a chip rout and worries over AI spending, so the one-day fall is not a pure verdict on the company. The case now rests on PC demand recovering as memory prices ease and on foundry customers appearing. Neither is assured, and the next Quarterly Report is the main checkpoint.