Intel has committed to be the first major foundry to deploy ASML’s high-numerical-aperture (high-NA) EUV lithography systems in 2026, a move designed to close the gap with TSMC. The firm plans to install three high-NA tools at its Arizona fabs by Q4, each capable of printing sub-5nm features with a 30% increase in wafer throughput compared to previous EUV generation. Capital expenditure for 2026 is set at $25–27 billion, with 35% earmarked for advanced packaging and EUV upgrades. Management expects process node parity with leading competitors by end-2027, contingent on these systems achieving targeted yields of 75% in pilot runs.

In Q4, Intel reported $0.15 GAAP earnings per share, outperforming the $0.08 consensus by 87.5%, and generated $13.67 billion in revenue versus estimates of $13.37 billion, although revenues declined 4.2% year-over-year. Data Center and AI Group revenue rose 5% sequentially to $5.1 billion, offsetting a 9% drop in Client Computing Group to $7.2 billion. Gross margin improved slightly to 45.8%. However, guidance for Q1 2026 calls for breakeven EPS, $11.7–12.7 billion in sales and a 34.5% gross margin, pointing to supply-constraint risks. Full-year EPS is projected at negative $0.11, underscoring a cautious outlook.

AE Wealth Management increased its position by 3.2%, acquiring 20,072 shares to hold 656,816 shares valued at roughly $22 million. Norges Bank initiated a new stake worth $1.58 billion, and Vanguard Group added 8.5 million shares in the quarter, lifting its total to 385.9 million shares. Overall, institutional ownership stands at 64.5%. Executive Vice President David Zinsner purchased 5,882 shares at an average price of $42.50 on January 26, boosting his holdings by 2.44% to 247,392 shares and signaling confidence in the company’s turnaround efforts.

Recent reports suggest Nvidia and Apple are evaluating Intel Foundry for some 2028 chip production, potentially redirecting over $1 billion in annual revenue. While these discussions remain unconfirmed, they coincide with Intel’s engagements with “several prospective customers” mentioned on its earnings call. If materialized, such partnerships would validate Intel’s 18A and 14A process roadmaps and support U.S. government mandates to repatriate semiconductor manufacturing, alleviating TSMC’s capacity constraints and reinforcing Intel’s foundry credibility.