"The semiconductor sector is selling off at the open on Friday, with all three major U.S.-listed chipmakers giving back a slice of their parabolic spring rallies. Intel shares are leading the move lower, sliding 8% in early trading to $108 from Thursday's close of $115.93. Advanced Micro Devices stock is down 4% to $432, while NVIDIA shares are off 4% at $226. The coordinated decline lands after one of the steepest multi-week runs the AI chip group has produced in years."
"This is the AI semiconductor complex behaving the way parabolic moves usually do. Profit-takers are locking in gains heading into the weekend, and pre-earnings positioning around NVIDIA's May 20 report is amplifying the rotation across Intel, AMD, and NVIDIA shares. Intel has been the runaway 2026 leader of the group, with INTC stock up 214% year to date through Thursday's close and 82% in just the past month. That kind of vertical move usually invites a sharp consolidation, and that's what Intel shareholders are getting today."
"The rally has been powered by Apple foundry deal speculation, an AI server demand recovery, and a blowout Q1 FY2026 earnings report from Intel. The company posted non-GAAP EPS of $0.29 against estimates near a penny, with Data Center and AI revenue up 22% year over year to $5.05 billion. Mizuho earlier this week lifted its INTC price target to $124 on agentic AI server demand. Today's drop is consistent with the highest-beta name in the group leading the downside, and Intel stock remains the index's standout 2026 comeback story even after the pullback."
Semiconductor stocks dropped at the open on Friday, with Intel, AMD, and NVIDIA giving back gains after a steep multi-week run. Intel led the decline, falling about 8% to around $108 from Thursday’s close near $115.93. AMD and NVIDIA both fell about 4% in early trading. The coordinated move followed profit-taking into the weekend and positioning ahead of NVIDIA’s May 20 earnings report, which amplified rotation across the major chipmakers. Intel’s rally had been driven by foundry deal speculation, AI server demand recovery, and strong Q1 FY2026 results, including non-GAAP EPS of $0.29 and Data Center and AI revenue up 22% year over year to $5.05 billion.
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