Shares of American chipmaker Intel (INTC) fell into the red zone on Wednesday afternoon despite the company previewing two of its new chips built on 18A, its long-awaited and most advanced semiconductor technology developed and made in the U.S.
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Intel Launches Panther Lake Chip
The first chip is the Panther Lake, officially known as the Intel Core Ultra series 3. The chip is built for personal computers, laptops and consumer devices. It is also the first chip to be built on Intel’s 18A technology.
On the other hand, the new Xeon 6+ chip, which is codenamed Clearwater Forest, is designed for servers. Intel described the chip as “the most efficient server processor” it has ever created.
It is important to note that Panther Lake is a system-on-chip (SoC), which means that it combines various roles, functioning as a processor and graphics and memory controller. It comes with 50% faster central processing unit performance compared to preceding generations of chips, according to Intel.
In addition, the Core Ultra series 3 offers 50% faster graphics performance and is also designed for edge applications — software that processes and acts locally on data instead of relying on distant data centers. This type of technology serves as the basis for products such as robots, smart cameras and self-driving cars.
A Test to Regain Lost Ground?
Intel said in a statement that both chips were built at Fab 52, its new factory in Chandler, Arizona. The preview of the advanced chips comes as the Trump administration continues to heap pressure on semiconductor manufacturers to ramp up local production. In fact, the U.S. government recently took a 10% equity stake in Intel.
Meanwhile, Intel disclosed that while Panther Lake is targeted for release later this year, the Clearwater Forest is not expected to be ready for launch until the first half of 2026.
The Core Ultra Series 3 is seen as a test to help Intel regain lost ground in the chip market for PC and laptops, even as its recent partnerships and investment deals, including with giant chip designer Nvidia (NVDA), have managed to both raise optimism in its shares and leave investors and analysts worried.
Is Intel a Buy, Hold, or Sell?
Across Wall Street, Intel’s shares currently have a Hold consensus rating, as seen on TipRanks. This is based on two Buys, 27 Holds, and five Sells assigned by 34 Wall Street analysts over the past three months. Moreover, at $26.83, the average INTC price target indicates a 28% downside risk from the current level.
