Intel Stock Rises After Chipmaker Cuts Forecast for Expenses

Core Viewpoint - Intel shares increased approximately 4% following the announcement of a lowered outlook for full-year costs after selling a majority stake in its Altera programmable chip business [1][4]. Financial Performance - Intel sold 51% of Altera to private equity firm Silver Lake for about $3.3 billion, with the deal closing recently [2]. - The sale has allowed Intel to adjust its fiscal 2025 non-GAAP operating expenses target to $16.8 billion, down from the previous guidance of $17.0 billion [3]. - The target for fiscal 2026 operating expenses remains unchanged at $16.0 billion [3]. Strategic Initiatives - CEO Lip-Bu Tan emphasized the need for financial discipline within the company, indicating that steps are being taken to reduce spending [4]. - CFO David Zinsner noted that the changes aimed at reducing operating costs and improving capital efficiency are yielding positive results [4]. Stock Performance - Following the recent developments, Intel shares have risen about 25% year-to-date [4].