Chip stocks fell in after-hours trading on October 29, 2026, after Intel reported quarterly results and warned of continued weakness in the PC market. Intel shares dropped 18%, while AMD fell 4% and Broadcom declined 2%.

Key Takeaways

  • The Philadelphia Semiconductor Index fell 1.4% during Thursday’s regular session, before Intel released its results.
  • Intel forecast fourth-quarter revenue of $15 billion to $16 billion and expects the PC slowdown to continue into 2027.

Chip stocks extend losses after the close

The Direxion Daily Semiconductor Bull 3X ETF, known as SOXL, fell 9% in after-hours trading. The fund seeks three times the daily performance of the NYSE Semiconductor Index before fees and expenses, not the Philadelphia Semiconductor Index, also known as the SOX.

Extended-hours trading is generally less liquid than the regular session, and price moves can be exaggerated. The SOX had risen more than 60% in 2026, but was down 13% from its recent October high and 21% from its June all-time high.

Intel flags PC headwinds

Intel’s third-quarter results showed revenue of $16.5 billion, up 21% from a year earlier. The company forecast fourth-quarter revenue of $15 billion to $16 billion; that range is guidance, not a completed result.

Chief Financial Officer David Zinsner said Intel expects the PC slowdown to continue at least through the first half of 2027. Intel also said an explosion at a factory in Israel would cost roughly $600 million in revenue over two quarters after a shutdown lasting about two weeks.

Michael James, an equity sales trader at Rosenblatt Securities, attributed the broader after-hours semiconductor weakness primarily to Intel’s guidance and a spillover in negative sentiment. That is his assessment, rather than a confirmed explanation for each stock’s decline.

PC weakness and AI demand

Intel’s client computing and physical AI division reported third-quarter revenue of $8.1 billion, down 5% from a year earlier. Its data center and AI revenue rose 78% to $7.3 billion.

Kim Caughey Forrest, founder and chief investment officer at Bokeh Capital Partners, said Intel’s difficulties appeared to be a PC issue and might not have much effect on the wider market. Weakness in PCs does not necessarily indicate the same conditions for chipmakers more heavily exposed to AI.

Next milestone

The next market session is Friday, October 30, when regular trading will show how chip stocks perform in a more liquid market.

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