Intel's Earnings Worry Semiconductor Sector, Impacting Marvell, Western Digital, and Others

Shares of semiconductor companies including Marvell Technology (MRVL), Western Digital (WDC), Photronics (PLAB), FormFactor (FORM), and Amkor Technology (AMKR) fell sharply after Intel reported a fourth-quarter loss and issued a weak outlook for the current quarter. Intel's first-quarter revenue guidance of $11.7 billion to $12.7 billion missed analyst expectations, and executives warned of ongoing supply shortages that could persist into 2026, raising concerns across the industry. FormFactor's shares, already volatile with 35 moves over 5% in the past year, reacted to Intel's news, though analysts view it as a meaningful but not fundamentally altering event. The semiconductor rally earlier this month, driven by strong results from Taiwan Semiconductor and growing optimism about AI-related demand, has now been tempered by Intel's cautionary signals. Despite today's drop, FormFactor remains up 23.9% year-to-date, trading at $73.32 per share, still below its 52-week high of $83.46. Investors holding the stock since 2021 have seen gains of approximately 51%. The broader semiconductor sector now faces uncertainty amid Intel's warnings of prolonged supply challenges.