Intel Shares Surge as Market Reassesses Prospects

A dramatic shift in sentiment is sweeping through Wall Street regarding Intel. Following several challenging years, investors are witnessing an aggressive reappraisal of the chipmaker's value, propelling its stock to a fresh 52-week peak. This rally is fueled not merely by optimism but by tangible manufacturing achievements and a cascade of analyst rating upgrades that are dismantling the longstanding narrative of skepticism.

The enthusiasm stems from verified breakthroughs in production. Reports confirm that Intel's critical 18A manufacturing node—equivalent to a 2-nanometer process—has successfully entered volume production. This technology forms the core of the upcoming "Panther Lake" processors, which are slated for use in more than 200 distinct AI-powered PC designs.

By ramping up this advanced node, Intel is directly confronting a primary investor concern: its ability to compete technologically with rival TSMC. With yield rates meeting targets, the company is repositioning itself to reclaim market share within the client computing segment.

Financial Turnaround Gains Traction

These technical advances are increasingly reflected in the company's financial statements. For the third quarter of 2025, Intel surpassed revenue expectations and reported a GAAP net profit of $4.1 billion—a stark contrast to the losses recorded in the prior-year period. The company's free cash flow also showed marked improvement. The market response has been powerful, with the stock advancing over 57% in the past 30 days alone.

Should investors sell immediately? Or is it worth buying Intel?

Analysts Rapidly Revise Targets

A key catalyst for the recent price surge is a broad-based correction in analyst expectations. Multiple financial institutions are swiftly adjusting their models to align with the operational recovery now underway. The most pronounced signal came from Citigroup, which upgraded the stock from "Sell" to "Neutral" and nearly doubled its price target from $29 to $50.

This drastic revision underscores the extent to which the market had underestimated the pace of operational improvements. Other firms followed suit:
* TD Cowen raised its price target to $50.
* Barclays lifted its valuation to $45.
* RBC Capital also set its fair value estimate at $50.

These adjustments have established the $50 mark as a new psychological focal point for traders.

The Path Ahead

Attention now turns to January 22, 2026, when Intel is scheduled to release its fourth-quarter results. Market observers are likely to focus less on the anticipated earnings per share and more on the guidance provided for the full 2026 fiscal year. Coupled with political tailwinds from positive comments by former U.S. President Donald Trump, this update could serve as confirmation that the company's turnaround is taking firm, long-term hold.