Intel surges amid CES announcements, Mobileye news
Intel surged to a new 52-week high in early trading, though it gave back a large chunk of the early gains by the afternoon. There were few headlines that could clearly explain the run-up of gains, which peaked around 11%.
One potential driver of the move might be optimism surrounding the company’s unveiling of a new line of processors at the Consumer Electronics Show on Tuesday.
Another possible candidate was the reflected glow of a deal announcement from Mobileye, the autonomous driving company that Intel holds a significant stake in.
Mobileye initially rose after buying Mentee — an artificial intelligence robotics company — for $900 million in cash and stock in a deal that’s expected to close this quarter.
(Intel spun off Mobileye in 2022, but retained a controlling stake in the company.)
Finally, news that Qualcomm is perhaps looking to use contractors outside Taiwan for its next-generation chip — though it’s reportedly speaking to Korea’s Samsung for that, not Intel — may be raising hopes that chipmakers looking to diversify away from Taiwan could become customers for Intel’s troubled contract chipmaking division.
But again, there’s no clear reason to point to for its outperformance on Wednesday.
Mobileye initially rose after buying Mentee — an artificial intelligence robotics company — for $900 million in cash and stock in a deal that’s expected to close this quarter.
(Intel spun off Mobileye in 2022, but retained a controlling stake in the company.)
Finally, news that Qualcomm is perhaps looking to use contractors outside Taiwan for its next-generation chip — though it’s reportedly speaking to Korea’s Samsung for that, not Intel — may be raising hopes that chipmakers looking to diversify away from Taiwan could become customers for Intel’s troubled contract chipmaking division.
But again, there’s no clear reason to point to for its outperformance on Wednesday.
