April 9 – Intel (NASDAQ:INTC) took a big hit on Tuesday, dropping 7.3% to close at $18.13, marking its lowest point since 2009. The steep fall comes as ongoing tariff issues continue to shake up the semiconductor world.
It’s been a rough year for Intel, with shares down more than 50%. In an effort to turn things around, Intel recently brought in Lip-Bu Tan, the former CEO of Cadence Design Systems (CDNS), to help fix the company’s culture and performance.
Intel is pinning its hopes on its new 18A semiconductor process, which it’s counting on to revive its foundry business. The company’s planning to roll out its lead product in the second half of this year, and a successful launch could help address some of the internal issues Tan has highlighted. But, there’s still the concern over Intel’s huge debt load, especially after a negative $2.2 billion cash flow last year.
It’s not just Intel, other semiconductor stocks have also been hit hard as the sector faces ongoing challenges, with tariff fears continuing to cause turbulence across the tech industry.
This article first appeared on GuruFocus.
