Intel Stock Jumps 9% on Chip Price Hike Report, US Stake Gains $36 Billion

Intel stock (INTC) climbed as much as 9.5% on Tuesday following a supply chain report that said the company will raise personal computer processor prices by roughly 10% in early October.

The move lifted the value of the US government’s 9.9% Intel holding to a paper gain of about $36 billion. Washington bought that stake in August 2025.

Why a Price Increase Pushed Intel Stock Higher

Higher prices normally read as bad news, because they can push buyers away. However, investors took this one differently.

They treated the increase as a sign that Intel will defend profit on each chip rather than chase sales volume. Chief Executive Lip-Bu Tan has been cutting low margin product lines since late 2025. Intel has not confirmed the timing or which chips are affected.

$INTC REPORTEDLY PLANS ANOTHER 10% PC CPU PRICE HIKE IN OCTOBERThe increase is aimed at improving gross margins rather than gaining market share, according to DIGITIMES, as global PC shipments are expected to fall to roughly 250M units in 2027.Intel is also reportedly… pic.twitter.com/hT2wPPMvpB

— Wall St Engine (@wallstengine) September 8, 2026

Northland Securities also raised Intel to Outperform from Market Perform on Tuesday, with a $120 price target. The firm cited turnaround progress, a shortage of server processors, and Musk’s Terafab chip project.

Washington’s Stake and a Foundry Milestone

Under an August 2025 agreement, the US government paid $8.9 billion for 433.3 million Intel shares. The price was $20.47 each, or 9.9% of the company.

At about $105 a share, that holding is worth roughly $45.5 billion. The unrealized gain works out near $36.6 billion.

BREAKING: The US government is now up $35.9 billion on its Intel investment.The US government bought a 9.9% stake in Intel at $20.47 per share back in August 2025. https://t.co/r3HtXJtoez pic.twitter.com/a6cgUg2eyq

— Bull Theory (@BullTheoryio) September 8, 2026

Notably, however, the stake has been worth more. BeInCrypto reported in May that the paper profit had reached $47.6 billion after an Apple chip deal. Intel has since slipped from its summer peak. President Trump has repeatedly promoted Intel’s gains on social media.

Intel and ASML separately said Intel has run more than one million silicon wafers through its High-NA extreme ultraviolet (EUV) machines. Wafers are the discs that chips are cut from. The machines are the newest tools for printing circuit patterns onto them.

The count covers testing and research as well as production. Intel has still not confirmed the October price increase. Whether computer makers absorb it should show in third quarter results due late October.