Intel shares plunge 13% in extended trading after guidance disappoints Wall Street

Intel Corporation shares plunged as much as 13% on Wall Street in extended trading on Thursday despite the company reporting fourth quarter results that beat analyst expectations. However, its guidance left the street disappointed.

For the first quarter, Intel sees revenue between $11.7 billion to $12.7 billion and adjusted Earnings Per Share (EPS) to be at breakeven point. Analysts though, were expecting the EPS at 0.05 and revenue of $12.51 billion.

During the fourth quarter, Intel's revenue of $13.7 billion surpassed the $13.4 billion estimate, while its EPS of $0.15 was also better than the $0.08 figure analysts were working with. Net loss for the period though, widened to $600 million, compared to a $100 million loss during the same period last year.

Intel's finance chief told CNBC that the guidance is subdued partially due to them not having enough supply to meet demand, and that would only improve in the second quarter.

Lip-Bu Tan, Intel's CEO said that the company is looking at ways to improve production efficiency during the earnings call with analysts.

Intel's shares also plunged to that extent courtesy the run it had in 2025. The stock jumped 147% last year on hopes that the company will win its first major customer for its foundry business, which manufactures chips for other companies.

The management believes that the next generation 14A technology would show up in the second half of the year and that it is unlikely that customers would be announced in general.

Shares of Intel ended extended trading 12% lower at $54.32.