On Wednesday, January 21, 2026, Intel’s share price rose by 11 percent, closing above the key technical level of USD 54.* For investors holding Intel in their portfolios, this represents an exceptionally important moment, as it marks the highest price since January 2022. The broader context is equally favorable: over the past 12 months, the shares have gained nearly 150 percent, and in 2025 alone they rose by more than 80 percent.*
Intel share price performance over the past five years
The Heart of Artificial Intelligence
From a value-investing perspective, it is positive that this exponential growth is not merely the result of effective marketing, but is backed by tangible fundamental demand for AI infrastructure. From a media standpoint, many investors primarily focus on Nvidia’s graphics chips, yet Intel is gradually taking control of the core infrastructure in data centers. According to analysts at KeyBanc, the company’s latest server chips are sold out for the entire year ahead, creating room for further price increases. It is no secret that the largest technology players are building their capacities at a record pace, with Intel becoming a key pillar without which a modern data center cannot operate.
The Ambition to Become the World’s Number Two in Manufacturing
Intel is no longer relying solely on selling its own designs, but is transforming into a massive manufacturing hub for other players through its Foundry business. The strategic goal is to become the second-largest contract manufacturer in the world, thereby overtaking South Korea’s Samsung and positioning itself right behind Taiwan’s TSMC. The key to this success is Intel 18A technology, which is considered equivalent to TSMC’s most advanced 2-nanometer process.[1]
An Alliance with Nvidia
Intel currently possesses another major competitive advantage, extensive support from the U.S. government. An investment of nearly USD 9 billion makes Intel a national champion, as it is the only American company capable of manufacturing cutting-edge chips on domestic soil. The value of the government stake has increased by USD 14 billion since August. In addition to this state interest, Nvidia has also joined in, investing USD 5 billion into Intel.
New Leadership
Behind the shift in sentiment undoubtedly stands Intel’s new CEO, Lip-Bu Tan, who took the helm in March of last year. His approach is uncompromising and focused on efficiency, encompassing not only cost cutting and layoffs, but above all a deep reorganization of the entire management structure. Investors are rewarding these steps with confidence, as confirmed by KeyBanc, which raised its price target for the stock to USD 60.[2] Growth in the data center and AI segment by 29 percent is expected to support this target in the near term.
* Past performance is not a guarantee of future results.
[1,2] Forward-looking statements are based on assumptions and current expectations that may be inaccurate or based on the current economic environment, which may change. Such statements are not guarantees of future performance. They involve risks and other uncertainties that are difficult to predict. Actual results may differ materially from those expressed or implied in any forward-looking statements.
