Intel (Intel (INTC)) shares jumped nearly 5% in Thursday's premarket session, riding a wave of broader market optimism and a fresh upgrade from Bank of America. The chipmaker's stock was up 4.27% at $111.61 in premarket trading, as Nasdaq futures gained 0.86% and the S&P 500 futures rose 0.46%.
Bank of America Securities upgraded Intel to Buy from Neutral and raised its price target to $135, up from a previous target. The firm cited stronger CPU demand and long-term upside from Intel Foundry, the company's contract manufacturing business. The upgrade adds to growing optimism that Intel's turnaround efforts are gaining traction, especially as major tech companies reportedly evaluate its advanced manufacturing capabilities. Investors are also focusing on the expanding role of CPUs in agentic AI workloads, which could be a significant growth driver.
Technically, Intel is in a strong long-term uptrend. The stock trades about 21% above its 50-day simple moving average of $92.70 and more than 113% above its 200-day simple moving average of $52.54. The golden cross formed in August 2025 remains intact, signaling continued long-term strength. In the near term, Intel is consolidating after its recent rally, sitting slightly below its 20-day simple moving average of $113.41 but above its 20-day exponential moving average of $109.31. The relative strength index stands at 51.02, suggesting momentum is balanced and the stock is no longer overbought. Key resistance is near $126.50, with the 52-week high at $132.75, while key support sits around $102.50.
Intel is expected to report second-quarter results on July 23. Wall Street expects earnings of $0.19 per share, compared with a loss of $0.10 a year earlier. Revenue is projected to rise to $14.4 billion from $12.86 billion. The stock carries a consensus Hold rating, with an average analyst price target of $82.33. Recent analyst actions include Barclays maintaining Equal Weight with a $100 target on June 1, and Wells Fargo maintaining Equal Weight with a $110 target on the same day.
Intel also has significant ETF exposure. It carries a 6.30% weight in the iShares Semiconductor ETF (SOXX), a 9.28% weight in the iShares MSCI USA Value Factor ETF (VLUE), and a 66.67% weight in the GraniteShares 2x Long INTC Daily ETF (INTW). Because INTC carries such a heavy weight in these funds, any significant inflows or outflows for these ETFs will likely force automatic buying or selling of the stock.
