Intel Stock Plummets 4.61% with 19.75 Billion Shares Traded Ranking 36th in Daily Volume as Market Share Hits 22-Year Low

On May 14, 2025, Intel (INTC) experienced a significant decline, with its stock price dropping by 4.61%. The trading volume for the day was substantial, reaching 19.75 billion, placing it at the 36th position in terms of daily trading volume.

Intel is facing challenges in securing customer commitments for its latest chip manufacturing technology. The company's Chief Financial Officer (CFO) has indicated that there are limited commitments from customers for the new technology, which has raised concerns among investors. This lack of commitment is particularly evident in the trial runs conducted by key clients such as Nvidia and Broadcom, which have not resulted in substantial contracts.

Intel's market share has hit a two-decade low, according to a recent research note. The company's share of chip shipments fell by more than 1.8% to 65.3% in the first quarter of 2025, marking the lowest level since 2002. This decline is attributed to the significant gains made by rival Arm Holdings, which expanded its share to 13.6% in the first quarter from 10.8% in the fourth quarter of 2024. Advanced Micro Devices also saw a reduction in market share, but its stock was less affected due to a $6 billion stock buyback announcement.

Intel's struggles are part of a broader structural shift in the semiconductor industry. Arm's energy-efficient chip design, traditionally dominant in the mobile market, is now making inroads into laptops, data centers, and other markets. This shift poses a significant challenge for Intel, which has been a long-standing leader in these areas. Despite the concerning news, some analysts maintain a neutral rating on Intel stock, suggesting a wait-and-see approach as the company navigates these challenges under its new leadership.