Intel (INTC) Soars 3.02% on U.S. Government Stake

Intel's stock price surged by 3.02% in pre-market trading on August 25, 2025, driven by a series of positive developments and strategic investments.

Intel's stock experienced a brief intraday jump but quickly faded, ending the day flat. This volatility was attributed to the significant investment and recent domestic push, which failed to sustain the initial momentum.

Despite President Donald Trump's announcement of a 10% U.S. government stake in Intel, the stock chart indicates that shares are not yet ready to break higher. This suggests that investors remain cautious about the company's future prospects.

Intel's stock surged after reports that the U.S. government plans to convert part of Intel's CHIPS Act grants into equity, effectively taking a nearly 10% stake in the company. This move is seen as a strategic investment aimed at bolstering domestic semiconductor manufacturing.

SoftBank Group's $2 billion investment in Intel Corp. has been seen as a positive development, positioning Intel as one of the best data center stocks to buy. However, analysts at Truist have noted that this investment alone may not be enough to drive significant growth for the company.