Chip Stocks Crater: Intel Falls 6%, AMD Drops 5% Thursday
Semiconductor names got hammered Thursday despite bullish analyst calls, with Intel and AMD leading the sector lower.
Chip stocks got crushed Thursday and the news backdrop made it even more confusing. Intel dropped 6% to $119.83 at midday, AMD slid 5% to $511.67, and the iShares Semiconductor ETF SOXX fell 6% to $561.49. That's a broad, ugly selloff across the entire sector — not just one or two names.
Here's what makes this move sting more: the news going into Thursday was actually decent for Intel. HSBC was out with a bullish call flagging roughly 60% upside in the stock. You don't see that kind of analyst conviction every day. Yet buyers didn't show up. When good news can't lift a stock, that tells you something about the near-term supply-demand balance in the shares.
Read more Dow Jones Top Movers: Thursday's Biggest Gains and Losses →
The SOXX dropping 6% in a single session signals this wasn't stock-specific pain — it was a sector-wide flush. Whether that's macro-driven, rotation out of high-multiple tech, or just profit-taking after a strong run, the price action is the price action. Arguing with it is expensive.
For traders, the key question now is whether this is a buyable dip or the start of a deeper unwind. HSBC's 60% upside target on Intel gives you a fundamental anchor, but momentum is clearly not your friend today. Watch where SOXX closes relative to recent support before sizing into anything.
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