In recent years, companies in the technological sector have experienced unprecedented gains thanks to the Artificial Intelligence Revolution (AI). In particular, the actions of semiconductors have experienced gains in dismissals of obligation thanks to the importance that fleas play in the generative development of AI.
Since Chatgpt has been published commercially on November 30, 2022, the actions of Nvidia,, BroadcomAnd Manufacture of Taiwan semiconductors climbed 592%, 272%and 110%, respectively. From the point of view of the broader industry, the ETF Vaneck Semiconductor has a total return of 93% over this same period.
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Although it is difficult to lose money by investing in the space of semiconductors in the past two and a half years, there are notable Laggards. Investors in Intel (Nasdaq: Intc) Know that too well, knowing a decrease of 32% since the creation of Chatgpt highlighted the roller coaster mountains.
With Intel Trading actions near their lowest level in 15 years, is now an opportunity to buy the decline?
Intel is stuck between a rock and a hard place
It is important to understand why certain semiconductor stocks have experienced generous gains while others have not done so. NVIDIA, for example, specializes in the design of graphic processing units (GPU). GPUs are an important material that is used to form AI models – therefore, Nvidia plays an important role in the way IA applications are created.
On the other hand, Broadcom’s expertise surrounds the equipment of data centers with large network equipment as well as companies to design their own personalized chipsets. Finally, Taiwan Semi brings the chips designed by Nvidia, Advanced micro-apparents,, QualcommAnd many others in life thanks to its market leading market services.
While Intel is a fairly diverse operation, the foundry company in particular has been a source of concern in the past two years. In 2024, the Intel Foundry segment generated $ 17.5 billion in revenue – down 7% from one year to the next. In addition, the company’s foundry company posted an operating loss north of $ 13.4 billion last year – almost double the losses observed in the previous year.
During the first quarter of 2025, Intel generated $ 4.7 billion in revenue in the foundry segment. Although this represents an encouraging gain of 7% from one year to another, investors must be aware that management has awarded part of this growth in income that was carried out during the first quarter – thus guiding a certain deceleration in the coming months.
Although Intel clearly plays a role in the development of fleas, the company continues to lose market share against Taiwan semi and does not seem to exploit its own foundry practice in a profitable manner. In addition, the growth trends of this segment are, at best, quite unpredictable.
Image source: Getty Images.
Is Intel Stock a good purchase right now?
Although a falling scholarship course can try certain investors to buy the decline, I think that the sale of Intel is justified. Currently, Intel is in recovery mode and it remains to be seen if the new leadership has what it takes to put the ship back.
Intc returned estimates for data from the current financial year by Ycharts
Given that Wall Street estimates do not require a lot of growth in income or profits over the next two years, I find it difficult to see a bullish story around Intel. Given the inconsistency of Intel’s foundry activity in the face of increasing competition – mainly TSMC – I consider Intel as a speculative action to have. For these reasons, I transmit the purchase of the stock.
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Adam Spatacco has positions in Nvidia. The Motley Fool has positions and recommends micro Advanced, Intel, Nvidia, Qualcomm and Taiwan Semiconductor Manufacturing. The Motley Fool recommends Broadcom and recommends the following options: Court-circuit in May 2025 30 $ calls Intel. The Motley Fool has a policy of disclosure.
The opinions and opinions expressed here are the opinions and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
