Intel beat expectations in the quarter, but the forecast disappoints, the stock is crashing

Intel exceeded profit forecasts in the third quarter of 2026 with earnings of 52 cents per share versus an expected 40 cents, but the stock is plunging about 20% in after-hours trading following a disappointing forecast for the current quarter of $15-16 billion in revenue, below analysts' expectations.

Intel reported third-quarter 2026 results that beat analyst expectations, with revenue of $16.5 billion versus an expected $16.44 billion, and earnings per share of 52 cents versus an expected 40 cents. However, the stock is plunging about 20% in after-hours trading following a disappointing forecast for the current quarter. Intel expects revenue of $15-16 billion in the current quarter, compared to analysts' forecast of $17 billion, and a gross margin of 37% due to rising costs amid the global shortage of memory chips. CEO Lip-Bu Tan said the company is urgently working to increase chip supply. The article notes that since Tan's appointment last March, Intel has been on a quarterly upward trend in revenue and positive free cash flow. The acquisition of Israeli Classis for $2.2 billion does not affect these reports and is expected to close in the first half of next year.