$INTC · INTEL CORP
Intel reported Q3 FY2026 results with revenue of $16.5B (+21% YoY), GAAP EPS of $0.60, and non-GAAP EPS of $0.52. Q4 guidance was sharply below expectations: revenue of $15.0B–$16.0B, GAAP EPS of $0.10, and GAAP gross margin of just 37.1% — a steep sequential decline from Q3's 43.0%.
- Q3 revenue of $16.5B, up 21% YoY, with DCAI segment surging 78% to $7.3B.
- GAAP EPS of $0.60 vs. $0.90 a year ago, down 33% YoY; non-GAAP EPS of $0.52 vs. $0.23.
- Q4 revenue guidance of $15.0B–$16.0B implies a sequential decline from Q3's $16.5B.
- Q4 GAAP EPS guidance of just $0.10, down 83% sequentially from Q3's $0.60.
- Q4 GAAP gross margin guided to 37.1%, down from Q3's 43.0%, a 5.9-point sequential drop.
Extended-hours trading shows INTC at $76.89, down 16.49% from the regular-session close of $92.07. The Q4 guidance — particularly GAAP EPS of $0.10 and gross margin of 37.1% — is driving a severe after-hours selloff on a $486.69B market cap name.
Intel's Q4 guidance implies a dramatic sequential profit collapse — GAAP EPS dropping from $0.60 to $0.10 — erasing the narrative of a turnaround and sending shares down 16% after-hours.
Intel's DCAI revenue surged 78% YoY, its strongest data center growth in 15 years, yet the Q4 guide signals a sharp reversal. The contrast with AMD and NVDA's AI-driven momentum underscores Intel's uneven execution despite foundry and process technology progress.
Intel warns the PC slowdown will continue "at least through the first half of next year." Q4 GAAP tax rate is guided to 31% vs. Q3's 11.6%, a massive headwind. Supply constraints on Xeon are flagged as a near-term bottleneck.