Intel Corp.’s stock slide is delivering a reality check to President Donald Trump’s vision for quickly reviving domestic chip manufacturing led by an American champion, four months after the US moved to acquire as much as a 10% stake in the company.

After months of riding positive vibes, the troubled chip maker reminded investors why it needed a rescue in the first place.

Over the last year, Intel shares have rallied more than double on hopes of a turnaround for the embattled American chipmaker.

Intel reported earnings that beat estimates, but flagged issue with manufacturing that weighed on the outlook for coming quarters.

Intel’s stock has more than doubled over the last year with investments from the Trump administration, SoftBank and Nvidia.

That and high-profile investments from the U.S. government, SoftBank <9984.T> and Nvidia have reignited investor interest. Intel's stock outpaced most semiconductor firms last year with an 84% gain and has extended its rally into 2026, up 47% in January so far.

Intel is an essential name to the U.S. economy and the "Soprano-like" equity ownership by the government makes me want to own this company for the long haul.

It has once again been rumored that Apple might revive its chipmaking partnership with Intel, but the chips would be designed by Apple rather than Intel. In a research note today, obtained by MacRumors,

The tech giant is pivoting its strategy to focus on processors to support AI workloads, meaning less capacity for chips for PCs.

By Arsheeya Bajwa Jan 21 (Reuters) - Intel shareholders are optimistic about the company's results like they have not been for many quarters, betting the turnaround CEO Lip-Bu Tan promised was taking root and that rapid data center build outs were fueling strong demand for its traditional server chips.

The company forecast further losses in the first quarter as it spends heavily to ramp up production of its latest chips. Shares fell 18%.