Intel reports its fourth-quarter and full-year 2025 financial results today after the market closes, and investors are already betting big on the results. The stock jumped about 11% on Wednesday to its highest since January 2022, continuing a rally that lifted it 84% last year.
The optimism centers on Intel's thriving data center business. Analysts are projecting data center and AI sales to surge nearly 29% to $4.4 billion, according to FactSet. Much of the optimism is tied to strong sales of Intel's latest server chips, which analysts say are benefitting from rising spending on artificial intelligence infrastructure, with KeyBanc analysts upgrading the stock and suggesting that Intel is likely sold out of server CPUs for this year.
At CES 2026, Intel launched the Intel Core Ultra Series 3 processors, the first compute platform built on Intel 18A - the most advanced semiconductor process ever developed and manufactured in the United States. This technology is seen as a game-changer in rebuilding Intel's competitive edge against rivals like TSMC.
While analysts expect Intel to report a 6% drop in year-over-year revenue for the fourth quarter to $13.4 billion, the real story is in the AI segment's explosive growth. The U.S. government has become a key backer of Intel, making it the largest shareholder after an $8.9 billion investment last year, while Nvidia, the leading maker of AI chips, is one of the top shareholders in the company after a $5 billion investment. These moves signal serious confidence in Intel's turnaround from major industry players. The market has priced in an earnings reaction of +/- 7.45% ($3.50), so investors are bracing for some volatility once the results hit.