Intel (INTC +4.85%) stock moved lower on Tuesday. The company's share price closed out the session down 2.9% and had been off as much as 4.9% earlier in trading. Meanwhile, the S&P 500 index ended the day up 0.3%, and the Nasdaq Composite gained 0.8%.
NASDAQ: INTC
Key Data Points
Intel lost ground today following news and comments from the company's Vision 2025 event. The company's new CEO, Lip-Bu Tan, outlined some of the big challenges involved in the business's turnaround and its next strategic steps.
Intel stock slipped after the company shared more details about its strategy
Intel's Vision conference kicked off yesterday, and investors got some new insight into the company's outlook. As the company's new leader, Lip-Bu Tan is aiming to make major culture changes that can help the business get back on track and catch up to artificial intelligence (AI) chip-design rivals, including Nvidia and Advanced Micro Devices, and turn ambitions of becoming a major third-party foundry services provider into a reality. Tan also said that the company would be spinning off non-core business units. While there wasn't any major bad news delivered at the event, some investors are likely disappointed that Intel did not announce or hint at plans to sell off the foundry business.
What's next for Intel?
Even with today's pullback, Intel stock is still up 10% across 2025's trading -- with the gains being primarily driven by Tan's appointment as CEO and reports that the company could sell off some or all of its foundry business. Intel's foundry business has been a source of massive losses for the company, and it's still not clear whether the company's upcoming 18A manufacturing process will produce strong enough results to win customers away from Taiwan Semiconductor Manufacturing. The chip specialist is expected to share more details about its plans for the foundry unit at the end of this month.
