In the last three years, Intel Stocks have taken a full swing from a significant decline in 2022 to a surprise surge in 2023 and then plummeted to negative indicators in 2024. The first quarter earnings of 2025 also showed mixed results, reflecting both progress and challenges. These ups and downs were stimulated by both internal and external factors, including manufacturing delays, lagging in adapting to the AI boom, a rise in market competition by Nvidia, AMD, and TSMC, and Intel’s dual model of manufacturing and designing chips, which caused operational inefficiency.

However, there is an expected shift in the semiconductor industry due to a high concentration of investment in AI data centers and quantum computing. Based on the performance of Intel in the last three years, it could be projected how the company will perform in the upcoming year and what impact it will create on the stock market. 

Intel’s Stock Decline in 2022: Nvidia’s Ascendancy and the AI Data Center Investment Shift

In 2022, Intel faced a sharp decline in the stock market, with a closing price of $25.49 on December 30, 2022. It went down to 46.8%, indicating the low performance of the company in the year. The major reason for this decline was the rise of Nvidia, which heavily invested in AI data centers and CPUs. Moreover, the company faced fewer PC demands and delays in product launches that exacerbated the situation. 

Intel Stocks Surged in 2023: An Unexpected Boom 

After a low performance in 2022, Intel’s stock experienced an unexpected rebound. By the end of December 2023, Intel showed a 10% year-over-year increase with net income of $2.7 billion. The Core Ulta laptop demands stimulated this surge. The foundry service also added to revenue generation. Nevertheless, operational efficiencies contributed to cost savings. 

Intel Stock Decline in 2024: Undoing the 2023 Gain 

Intel stocks plummeted to the worst decline in 2024. The company fell 60% on the Nasdaq and missed the earnings targets. It led the CEO, Pat Galsinger, out of the company and to strong structural and leadership changes. Major factors for this decline were rooted back to 2022, when the company missed the strategic planning for investing in AI data centers.

AI as the Pivotal Point of Tan: A Promising Forecast for 2025

One of the major reasons for Intel’s low performance in the past three years was its limited adaptability toward the AI boom compared to Nvidia and AMD. Under the new leadership of Lip-Bu Tan, Intel has geared up to mitigate this advancement gap as the company looks forward to advanced chips for AI Data Centers. Tan has also made significant changes in leadership by promoting Sachin Katti to chief technology officer and chief artificial intelligence officer. He is also formulating a road map and developing an AI ecosystem for the company. 

Considering the high demand for AI data centers and the ongoing trend of the AI boom, Intel has shifted its strategic policy, which gives a promising rise to Intel’s stocks for 2025. However, the external factor of Trump’s tariffs cannot be neglected, which may have macroeconomic impacts on Wall Street.