Intel (INTC) Stock Up 12% as Data Center/AI Revenue Booms

Intel (INTC) stock climbed 12% higher on Thursday on the back of a strong earnings report, which saw its data center and AI revenue surge. Indeed, Intel has shown strong performance with a 25% year-over-year revenue growth and a 59% increase in Data Center/AI revenue. Despite Thursday’s gains, the stock remains down over 34% in the last month, reflecting a potential shift in momentum.

Chip stocks as a whole are showing strong gains this week as earnings season continues. The iShares Semiconductor ETF (SOXX) jumped 8%, delivering broad AI-chip exposure across the sector without the single-stock execution risk of Intel or Advanced Micro Devices (AMD). AMD is also up 13% on Thursday, while shares of Taiwan Semiconductor Manufacturing (TSM) rose 7% similarly.

Speaking of TSMC, TSMC and Intel are locked in a race over the future of advanced semiconductor manufacturing, especially as AI spending and capital expenditure have ballooned with demand outstripping supply. TSMC is already the dominant player in advanced chip manufacturing, but Intel has begun to close that gap since the arrival of new CEO Lip-Bu Tan. Now, it is attempting to rebuild its foundry business after years of manufacturing setbacks. Intel’s 18A technology is expected to reach high-volume production in 2026, a key milestone for its foundry ambitions.

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