Intel's Strong Earnings and Revenue Guidance Propel Stock to New Heights

Intel's stock rose by 7% in after-hours trading after the company reported better-than-expected third-quarter earnings and provided strong revenue guidance. Despite a decline in revenue from the previous year, Intel beat profit and sales expectations. The chipmaker expects earnings of 23 cents per share on revenue of $14.6 billion to $15.6 billion for the fourth quarter. Intel plans to cut costs by $3 billion this year and saw a decline in operating expenses. While its Client Computing and Data Center divisions experienced sales declines, Intel's Mobileye subsidiary and foundry services showed growth. Intel also expressed confidence in its chips' usefulness for AI applications and downplayed competition from Arm-based chips in the PC market. The company remains on track to catch up with Taiwan Semiconductor Manufacturing Co.'s chipmaking technology by 2025.