Intel (NASDAQ: INTC) is making significant strides in its turnaround, with its 18A manufacturing process now shipping in real products. The company's newest Arizona fab has entered high-volume manufacturing for its Core Ultra Series 3 chips, known as Panther Lake, built on the 18A process. Intel claims this is the most advanced semiconductor process developed and manufactured in the United States. Additionally, the next node, 18A-P, has entered risk production, and the Xeon 6+ server chip, built on 18A, has also launched.
The U.S. government, Nvidia, and SoftBank collectively invested roughly $15.9 billion in Intel common stock in 2025. The U.S. government invested $8.9 billion, structured largely out of unpaid CHIPS Act and Secure Enclave funding, in exchange for roughly 275 million shares and warrants for up to 241 million more. Nvidia added $5 billion, and SoftBank put in another $2 billion. These investments suggest confidence in Intel's future, despite the company's past struggles, including an $18.8 billion net loss for 2024.
However, Intel also diluted shareholders with a $20 billion stock offering in August 2026, priced at $95 a share. This dilution means every dollar of future profit will be split among more shares. The company's history of falling behind schedule adds another layer of risk. Standing up a brand-new manufacturing process at scale is challenging, and Intel has faced setbacks before.
Despite these risks, the article's author is bullish on Intel's stock. If Panther Lake ramps up as expected and the 18A process proves successful across multiple product lines, the author predicts Intel shares could trade in the $110 to $130 range by the end of 2027. If the ramp stumbles, the stock could fall to the high $60s to low $80s. The author's optimism is bolstered by the significant investments from the U.S. government, Nvidia, and SoftBank, indicating confidence in Intel's comeback.