Intel Plunges 28.6% in Worst Day Since 1974 as Weak Q4 Guidance Erases $140 Billion in Market Value

Intel (INTC) shares fell 28.58% on Friday, erasing nearly $140 billion in market value, after the chipmaker's fourth-quarter guidance came in well below Wall Street expectations, according to Yahoo Finance data going back to 1973. It was the stock's worst single day since July 5, 1974, when shares dropped nearly 30%. The selloff also hit the U.S. government, whose 9.9% stake — purchased last August at $20.47 per share — lost more than $10 billion in value, though the holding remains worth roughly three times the original investment. Intel's third-quarter results were solid: adjusted EPS of $0.52 beat estimates and data center revenue rose to $7.3 billion. Guidance is the problem. Intel forecast fourth-quarter revenue of $15 billion to $16 billion versus analyst estimates near $17 billion, and EPS of $0.25 versus $0.43 expected. The company cited a roughly 12% decline in PC shipments this year and a further 10% drop in 2027 as AI data centers absorb global memory chip supply, plus about $300 million in lost revenue from an accident at its Israel plant. Bernstein's Stacy Rasgon called the outlook "awful" and cut his target to $75 from $110.