TLDR
- Intel stock jumped 10.3% on Friday to close at $40.56, hitting its highest point in a month
- Analyst Ming-Chi Kuo reported improved odds of Intel becoming an advanced chip supplier for Apple
- Apple may use Intel to manufacture its lowest-end M processor starting in 2027
- Intel shares have climbed 102.3% since January, more than doubling in value
- Any deal would mark a major shift as Apple currently uses TSMC for all its chip production
Intel stock soared Friday after a prominent supply chain analyst suggested the chipmaker could land a major deal with Apple. Shares closed up 10.3% at $40.56, marking the highest level in a month.
The rally came after TF International Securities analyst Ming-Chi Kuo released a report Friday morning. His latest industry surveys showed that chances of Intel becoming an advanced chip supplier to Apple “has improved recently.”
Kuo said Apple plans to use Intel for production of its lowest-end M processor. These chips power devices like MacBook Airs and iPad Pros.
The stock movement pushed Intel shares close to their highest closing price in well over a year. Trading volume spiked as investors digested the news.
According to Kuo’s analysis, Apple has a non-disclosure agreement with Intel to acquire the company’s 18AP PDK 0.9.1GA chips. The company is waiting for Intel to deliver the PDK 1.0/1.1 kit.
That delivery is expected in the first quarter of 2026. If Intel meets that timeline, the chipmaker could start shipping Apple’s lowest-end M-series processor by the second or third quarter of 2027.
The Numbers Behind Intel’s Comeback
Intel has experienced a dramatic turnaround this year. The stock has climbed 102.3% since January when shares traded around $20.22.
That represents more than a doubling in value over roughly ten months. Friday’s gains added to an already strong year for Intel investors.
What This Means for Intel’s Future
Kuo noted that Intel would still trail behind Taiwan Semiconductor Manufacturing Company in the coming years. TSMC currently manufactures all of Apple’s chips for iPhone, iPad, and Mac products.
However, landing Apple as a customer could change Intel’s trajectory. Kuo suggested that securing deals with Apple and other “tier-one customers” could make Intel’s long-term outlook “more positive.”
The analyst theorized that an Intel partnership could help Apple show the Trump administration its commitment to “buying American.” Shifting some production to a US-based company would diversify Apple’s supply chain.
For Intel, the deal would represent a chance at redemption. The chipmaker famously missed out on supplying processors for the original iPhone years ago.
Kuo wrote that Intel’s “14A node and beyond could capture more orders from Apple and other tier-one customers.” This would depend on successful execution of the initial partnership.
The timing of any deal still depends on Intel’s ability to deliver the PDK 1.0/1.1 kit on schedule. Apple will evaluate the kit once it arrives in early 2026 before committing to production.
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