Intel Stock Is Up 6% After $2 Billion SoftBank Investment

Aditya Raghunath4 minute read
Reviewed by: Thomas Richmond
Last updated Aug 19, 2025

Key Stats for Intel Stock

  • Price Change for Intel stock: 6%
  • Current Share Price: $25
  • 52-Week High: $27.55
  • INTC Stock Price Target: $22

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What Happened?

Intel (INTC) stock is up 6% following the announcement of a $2 billion strategic investment from Japanese conglomerate SoftBank.

The investment values Intel stock at $23 per share, just below Monday’s closing price of $23.66, making SoftBank the company’s fifth-largest shareholder with approximately 2% ownership.

The investment represents a vote of confidence in the embattled chipmaker, which has struggled to capitalize on the AI boom and has yet to secure major customers for its foundry business.

SoftBank CEO Masayoshi Son stated the investment “reflects our belief that advanced semiconductor manufacturing and supply will further expand in the United States, with Intel playing a critical role.”

Intel Stock Valuation Model (TIKR)

Adding to the positive sentiment, Bloomberg reported that the Trump administration is considering taking a 10% equity stake in Intel, potentially worth $10.4 billion at current market values.

The government is reportedly exploring converting some or all of Intel’s $10.9 billion in CHIPS Act grants into equity, which could make the U.S. government Intel’s largest shareholder.

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What the Market Is Telling Us About INTC Stock

The market’s positive reaction to INTC stock reflects growing investor optimism that Intel may finally be gaining the support needed to stabilize and compete in advanced semiconductor manufacturing.

After losing 60% of its value in 2024, the worst performance in the company’s history, Intel has become a strategic priority for both private investors and government officials concerned about U.S. chip manufacturing capabilities.

Intel Stock Price Chart (TIKR)

SoftBank’s investment is significant given the firm’s successful track record in semiconductors, including its acquisition of Arm Holdings and recent AI infrastructure commitments through the Stargate project.

The backing from a major AI-focused investor suggests confidence that Intel can eventually capture value from the artificial intelligence revolution.

The potential government stake in INTC stock also signals Washington’s commitment to reviving Intel as a national champion in semiconductor manufacturing.

With Intel being the only American company capable of producing the most advanced chips domestically, government support could provide the financial backing and customer commitments needed to make its foundry business viable.

However, questions remain about whether financial support alone can address Intel’s deeper technological and operational challenges.

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Disclaimer:

Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!

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