Intel Drops 6% Despite HSBC Bullish Call; AMD, Chips Slide
Chip stocks took a broad hit Thursday with Intel leading losses even as HSBC flagged 60% upside potential. AMD fell 5%.
Chip stocks got crushed Thursday and Intel led the pain. Shares of INTC tumbled 6% to $119.83 at midday, dragging the broader semiconductor space down with it. AMD wasn't spared either, sliding 5% to $511.67. The iShares Semiconductor ETF (SOXX) dropped 6% to $561.49, signaling this wasn't a single-stock story — the whole sector got hit.
What makes the selloff sting more? The news heading into Thursday was actually decent for Intel. HSBC had a bullish thesis on the table, projecting roughly 60% upside from current levels. That kind of analyst backing would normally give a stock a floor. Instead, INTC blew right through it. When a stock can't rally on good news, that's a red flag you don't ignore.
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For traders, this is a momentum-versus-fundamentals moment. HSBC's 60% upside call means nothing if the tape is telling a different story. The SOXX breaking down 6% in a single session suggests institutional money is rotating out, not nibbling on dips. AMD's drop confirms this isn't Intel-specific weakness — it's a sector-wide repricing happening in real time.
The tradeable takeaway here is simple: don't fight the tape with analyst price targets alone. Until chip stocks find a bid and SOXX stabilizes, catching these falling knives is a dangerous game. Watch SOXX's reaction at key support levels before committing fresh capital to any semiconductor name, Intel or otherwise.
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