Intel's guidance miss sparks selloff as PC slump persists

Intel shares plunged after the company issued weak guidance, citing persistent PC market struggles despite a strong third-quarter earnings beat. The stock fell sharply in after-hours trading as investors reacted to the outlook. Intel reported revenue of $16.513 billion, up 21% year-over-year and slightly above estimates, with non-GAAP EPS of 52 cents beating forecasts. However, PC unit sales fell 5% annually, and the company warned of a consumer electronics slowdown extending into 2027, driven by soaring memory prices and supply shortages. The firm faces manufacturing hurdles, including efficiency issues, substrate shortages, and a factory shutdown in Israel costing $300 million in Q4. Despite data center growth, analysts expect downward estimate revisions, with the price target cut to $100 and the rating under review.