Intel stock jumps as Q3 2025 Intel earnings show return to profit; INTC issues cautious Q4 outlook

Intel stock moved higher late Thursday after Intel earnings for the third quarter signaled progress on the turnaround. The chipmaker posted $13.7 billion in revenue, up about 3% year over year, and swung to a GAAP EPS of $0.90 with non-GAAP EPS of $0.23. While top-line growth remained modest, investors focused on signs that margins and execution are stabilizing into year-end.

INTC stock reaction and what’s driving the move

In after-hours action, INTC stock rose in the high single digits as traders digested the beat on revenue and the return to profitability. The reaction reflects three main threads:

• Profitability inflection: A positive GAAP print and a modest non-GAAP profit underscored expense control and healthier mix in data center and client PCs.

• Operating discipline: Management emphasized tighter capital spending and a pay-as-you-go posture for manufacturing investments, easing fears of open-ended cash burn.

• AI compute pipeline: Early revenue tied to accelerators, networking, and server platforms suggested that AI-related demand is starting to contribute, even if from a small base.

Short term, the move in Intel stock indicates that expectations had reset following a volatile first half. With the bar low, incremental progress on costs and program milestones is translating into outsized price swings.

Intel earnings by the numbers

• Revenue: $13.7B, up ~3% year over year.

• GAAP EPS: $0.90.

• Non-GAAP EPS: $0.23.

• Segment color: Client PC showed steadier sell-in as inventories normalized; data center benefited from improved product availability and mix. Foundry services remained in investment mode but with tighter guardrails around new capacity.

These figures place Intel earnings back on firmer footing versus midyear, when losses and heavy opex overshadowed early signs of a turnaround. The company framed the quarter as a step—not a finish line—on a multi-year rebuild of process technology, product cadence, and foundry credibility.

Guidance: Q4 2025 outlook for Intel and INTC

Intel guided Q4 revenue to $12.8–$13.8B and projected non-GAAP EPS of ~$0.08. The midpoint implies a sequential dip tied to seasonal PC patterns and disciplined spending around the manufacturing roadmap. For INTC, the guide reads as cautious but realistic:

• Seasonality vs. momentum: Holiday PC lift is offset by enterprise procurement discipline and methodical AI server rollouts.

• Gross margin puts and takes: Mix shifts and start-up costs for new nodes remain headwinds, but cost controls aim to preserve profitability.

• Cash and capex: The company reiterated a more measured capital approach; investors will track free cash flow trajectory and any updates to project timing.

What’s changing for Intel investors now

1) The narrative is shifting from survival to execution

Earlier in the year, the focus was balance-sheet strain and competitive gaps. With Intel earnings back in the black and spending restraint clearer, the conversation turns to delivery milestones: node readiness, customer commitments, and server CPU/accelerator roadmaps.

2) AI exposure is moving from story to line items

While still a smaller piece than at peers, AI-related revenue is becoming visible across platforms and networking. For INTC stock, even modest beats here can influence sentiment given how AI multiples expand or compress sector-wide.

3) Foundry progress will be judged on contracts, not slides

Management tied future fab dollars to signed customers. That reduces downside risk but also slows the pace of speculative build-outs. The market will reward confirmed volume over aspirational targets.

Key questions into year-end for INTC stock

• Can client margins hold if unit growth moderates after holiday? Watch attach rates and channel inventory.

• Will data center momentum persist as AI pilots convert to deployments? Conversion speed affects both revenue quality and gross margin.

• How quickly do operating savings flow through? Opex discipline is now a central pillar of the bull case for INTC.

• Does guidance prove conservative? A beat-and-raise pattern would solidify confidence that execution is trending the right way.

Quick reference: Intel earnings snapshot (Q3 2025)

Figures are the company’s latest reported results and outlook; schedule and results can change with final filings.

Bottom line

The latest Intel earnings show tangible, if early, progress on profitability and cost control, enough to lift intel stock despite a measured fourth-quarter guide. For INTC, the next leg depends on execution: converting AI opportunities into durable revenue, proving foundry economics with committed customers, and maintaining capital discipline. If those pieces fall into place, the turnaround moves from narrative to numbers—exactly what shareholders want to see.