Intel Shares Plunge 57% in Fourth Quarter

The chipmaker's weaker fourth-quarter forecast followed better-than-expected third-quarter earnings, making it the S&P 500's worst performer.

Updated on Nov. 7, 2026 in Semiconductors

Unlabeled silicon wafer die stacked beside a matte circuit substrate on a dark workbench, with a softly blurred cleanroom wall in the background. — Intel shares fell 57% in the fourth quarter, the worst performance in the S&P 500, after the chipmaker issued a weaker forecast despite beating third-quarter earnings expectations. AI Illustration. Upload story photo >

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Intel's share price fell 57% in the fourth quarter of 2026, making it the worst-performing stock in the S&P 500. The decline followed a weaker fourth-quarter forecast issued after the company reported better-than-expected third-quarter earnings.

Why it matters

The drop reflects mounting pressure on Intel's client computing business as PC demand weakens and memory prices rise, potentially making computers more expensive for buyers. For U.S. investors and the broader U.S. semiconductor sector, the sell-off signals doubts about Intel's near-term revenue outlook.

Intel's 57% share price drop in Q4 2026 ranked as the steepest decline in the S&P 500, measured against the index's other constituents. The full scale of the forecast cut and its revenue impact has not been disclosed in the available information.

The players

Intel

Intel is a U.S. semiconductor company that designs and manufactures microprocessors and chips for personal computers, data centers, and other computing devices.

The details

Intel issued a weaker fourth-quarter forecast after beating third-quarter earnings expectations, triggering a major selloff. Pressure came from weakening PC demand, rising memory prices, and packaging substrate shortages, while a two-week shutdown at its Fab 28 facility in Israel is expected to reduce quarterly revenue.

Q3 2026: Intel reports better-than-expected third-quarter earnings.
Q4 2026: Intel shares fall 57%, the worst performance in the S&P 500.

The Tech Race

Intel's decline comes as rivals in the chip sector navigate the same memory and packaging constraints, making supply capacity a key competitive variable. The quarter's sell-off highlights how Intel's manufacturing bottlenecks now weigh on its ability to compete for AI and PC chip demand against larger foundry rivals.

Rising memory prices may raise the cost of new computers, affecting buyers shopping for laptops and desktops. Consumers planning PC purchases may face higher prices or limited availability as chipmakers contend with supply constraints.

The takeaway

Intel's sharp decline shows how quickly a weaker forecast can erase gains from strong earnings when demand and supply pressures build at once. Readers tracking PC prices should watch memory costs, since they feed directly into the price of the devices they buy.