Intel Stock Surges Amid Acquisition Rumors

Shares of Intel (INTC) experienced a significant increase today following reports suggesting that the storied chip manufacturer may be on the acquisition block. As of 11:41 a.m. ET, the stock was up by an impressive 8.2%.

Rumors of an Intel Acquisition

According to a semiconductor industry news site, SemiAccurate, unnamed sources have indicated that a potential buyer is seeking to acquire Intel. The publication has reportedly seen an email from the prospective acquirer sent to a select group of executives regarding a complete buyout of Intel. SemiAccurate claims it is now 90% certain that these acquisition plans are genuine.

This is not the first time speculation about Intel's acquisition has surfaced. Back in September, there were also rumors that Qualcomm was interested in acquiring Intel, or at least its chip-design division. However, reports suggested that Qualcomm's interest had diminished by November.

The Possibility of Intel Being Acquired

Given Intel's recent decline in stock value and its significant assets, the idea of an acquisition is plausible, although the company has not officially indicated that it is looking for a buyer. Complicating matters further, Intel is currently without a permanent CEO, and last year, its stock price saw a dramatic decrease of 60%.

The stock's rise today is somewhat unexpected, as SemiAccurate is not a widely known news source, and no other major media outlets have confirmed this acquisition news. Nevertheless, investors appear motivated by the prospect of positive developments surrounding Intel, whether that involves a buyout or other good news.

While it may be premature to assume that an acquisition will happen soon, a buyout could be a distinct possibility in the future.

Disclosure: The author does not hold any positions in the stocks mentioned. Various investment firms have positions in or recommend Intel and Qualcomm.

Intel, acquisition, stocks