Intel Drops 6%, AMD Falls 5% as Chip Stocks Sell Off
Semiconductor shares tumbled sharply Thursday despite bullish analyst calls, with Intel and AMD leading broad sector declines.
Semiconductor stocks took a broad hit Thursday, with Intel (INTC) tumbling roughly 6% to $119.83 at midday and Advanced Micro Devices (AMD) falling 5% to $511.67, even as Wall Street analysts maintained upbeat outlooks on the sector. The iShares Semiconductor ETF (SOXX) mirrored the carnage, sliding 6% to $561.49, signaling that the selloff was not isolated to individual names but reflected wider pressure across chipmakers.
The decline stands out against a backdrop of constructive news flow heading into Thursday's session. HSBC projected roughly 60% upside for Intel shares, a bullish call that failed to arrest the stock's slide — underscoring how even strong analyst conviction can be overwhelmed when broader market sentiment turns negative.
Read more US Stocks Climb Weekly as Mag-7 Gains Counter Tech Drag →
The divergence between analyst optimism and market action highlights a recurring tension in the chip sector: fundamental thesis and short-term price behavior frequently move in opposite directions, particularly when macro concerns or profit-taking sweep through high-momentum technology names. Semiconductors, given their sensitivity to economic cycles and AI-driven demand narratives, tend to amplify broader market moves in both directions.
For investors watching the space, Thursday's session serves as a reminder that elevated valuations across chip stocks leave little cushion against sector-wide rotations, regardless of individual company developments. Whether the pullback represents a buying opportunity — as HSBC's price target implies for Intel — or the start of a deeper correction remains an open question as the trading week closes.
Continue reading at Yahoo.
