Intel Corporation (INTC) tried to shake off Thursday's losses on Friday, and for once, the company had some external forces working in its favor. Not that everything is rosy—analysts are still skeptical, and there's that awkward antitrust situation to deal with—but when the entire chip sector catches a wave of AI optimism, even Intel gets pulled along for the ride.

The "Show Me" Problem

DA Davidson analyst Gil Luria kicked off coverage of Intel with a Neutral rating and $45 price target, which sounds diplomatic until you read the fine print. He acknowledged that Intel has made "meaningful progress" across its operations, and yes, the stock has rallied sharply as a result. But then comes the kicker: he called Intel a "show me" story.

Translation? Sure, things look better on paper, but investors want to see consistent execution and real turnaround momentum before they're convinced this isn't just another false start. Intel has had enough of those to fill a museum.

Big Tech Opens the Spending Floodgates

Here's where things get interesting. Intel caught a lift from renewed enthusiasm across semiconductor stocks after major tech companies revealed just how much money they plan to throw at AI infrastructure. And we're not talking about modest increases—these are the kind of numbers that make finance people do double-takes.

Alphabet Inc. (GOOGL) pushed its capital expenditure forecast to $175-$185 billion, while Amazon.com Inc. (AMZN) went even bigger with a $200 billion outlay. These massive investments create a significant tailwind for chip companies across the board, Intel included.

Wedbush analyst Dan Ives expects Big Tech's total capital spending to hit $550-$600 billion in 2026, up from roughly $380 billion in 2025. That's an enormous increase driven almost entirely by AI and data center buildouts.

The Semiconductor Industry Association added some context: global chip sales reached $791.7 billion in 2025, and they're projecting 26% growth this year. At that pace, the industry is on track to approach $1 trillion in annual revenue as AI and data center demand continue accelerating.

What the Charts Are Saying

Intel (INTC) is sitting in a reasonably strong technical position, trading above both its 50-day and 100-day simple moving averages, which generally signals bullish momentum. But zoom in a bit and things get murkier. The stock is trading 2.6% below its 20-day moving average, suggesting some near-term weakness.

The Relative Strength Index sits at 50.20—right in neutral territory. That means there's no strong momentum pushing the stock in either direction, and traders are watching for either a breakout or breakdown from current levels.

Meanwhile, the MACD indicator has dropped below its signal line, which typically indicates bearish pressure. This could mean the recent upward momentum is losing steam, and caution is warranted.

Key technical levels to watch: support at $42.50 and resistance at $51.50.

There is one encouraging longer-term signal worth noting. Back in August, Intel experienced a golden cross—when the 50-day moving average crosses above the 200-day moving average. This typically signals a longer-term bullish trend, though shorter-term indicators are sending more mixed messages.

Over the past 12 months, Intel shares have surged 94.90%, reflecting strong demand and improving sentiment. The stock is currently sitting at 79.5% of its 52-week range, which means it's closer to its highs than lows. That could indicate strength, but it also raises the risk of a pullback if selling pressure emerges near resistance levels.

Bottom line: the technical picture is mixed enough that traders should stay alert. With indicators pointing in different directions and key price levels nearby, significant movement could happen quickly.

INTC Price Action: Intel shares were up 1.44% at $47.16 at the time of publication on Friday.