A large options sweep hit INTC with traders buying the $40 calls expiring January 16, 2026, signaling a long-term bet. The order involved 4,001 contracts purchased at $4.25 each, for a total premium of $1.7 million. The trade went through at the ask, confirming aggressive buying intent. The spot price at $39.83 suggests the calls were taken just above the money.
While the volume of 8,223 (at the time of the trade) is moderate relative to the open interest of 110,126 (a V/OI ratio of ~0.07), this action still indicates institutional confidence in Intel’s medium-term prospects. Overall, this flow reflects strategic positioning, possibly tied to expectations of AI-driven growth or improved semiconductor demand into 2026.
Volume And Open Interest Data
The INTC $40C 01/16/2026 contracts show strong ongoing activity, with volume surging to 23,561 on October 24 after 15,437 the previous day — clear evidence of renewed interest. Despite this, open interest dipped slightly by 3,847 contracts to 110,126, suggesting some traders may have taken partial profits or rolled positions rather than initiating all-new exposure.
The contract price eased to $3.52, down from $3.85 the prior day, even as implied volatility decreased from 58.7% to 55.1%, pointing to calmer sentiment after a burst of trading. Overall, the data reflects steady institutional participation in this deep 2026 call strike — a sign of longer-term positioning on Intel, with traders potentially consolidating after an earlier accumulation phase.
Trade Side Distribution
The trade side distribution for the INTC $40C 01/16/2026 options shows a strong buy side bias, with 75% of total premium ($2.9M) executed at the ask, signaling aggressive buying interest. Additionally, 12% ($486K) traded above the ask, reinforcing that buyers were willing to pay up for position entry — a hallmark of conviction-driven demand.
Meanwhile, only 8% ($293K) occurred at the bid and 2% ($62K) below it, reflecting minimal selling pressure. The remaining 4% ($145K) filled near the mid-price, suggesting negotiated fills but still skewed toward buyers. Overall, this distribution confirms dominant buyer sentiment, as institutional traders actively accumulated longer-term call exposure, likely positioning for a sustained move in Intel through 2026.
What’s Happening with INTC
Intel’s third-quarter 2025 earnings report delivered a stronger-than-expected rebound, marking a significant milestone in the company’s multi-year turnaround under CEO Lip-Bu Tan. The chipmaker reported revenue of $13.7 billion, up 3% year over year, and a non-GAAP earnings per share of $0.23, both beating analyst forecasts. The company’s return to profitability, posting $4.1 billion in GAAP net income, was fueled by higher PC chip sales, improved gross margins near 40%, and capital infusions from strategic investments including $5 billion from Nvidia, $2 billion from SoftBank, and an $8.9 billion equity purchase by the U.S. government, which now holds a 9.9% stake.
Intel also highlighted key progress in advancing its AI and foundry businesses, with its new Fab 52 in Arizona fully operational and the firm preparing for launch of its Panther Lake chips by year-end. Despite ongoing challenges in data center and foundry segments, the upbeat earnings and guidance for Q4 revenue between $12.8–$13.8 billion have reignited investor optimism—Intel’s stock jumped roughly 7% following the report.
About INTC
Intel Corporation is a leading American multinational technology company best known for designing and manufacturing semiconductor chips and microprocessors that power a majority of the world’s personal computers and data centers. Founded in 1968 and headquartered in Santa Clara, California, Intel pioneered the x86 architecture and has long been a dominant player in the global computing hardware space.
The company produces CPUs for desktops, laptops, and servers, along with chipsets, integrated graphics, and specialized processors for AI, IoT, and edge computing. Beyond traditional hardware, Intel is also investing in advanced technologies like foundry services, autonomous driving (through its Mobileye subsidiary), and high-performance computing solutions. Its clients range from consumer PC manufacturers to major enterprise, cloud, and government customers worldwide.
Analyst Ratings
| Firm | Rating | Updated |
|---|---|---|
| CFRA | ★★★ (Neutral) | 10/24/2025 |
| Market Edge | Long | 08/21/2025 |
| Argus | Hold | 07/25/2025 |
| Morningstar | ★★ (Bearish) | 10/24/2025 |
| LSEG | Hold | 10/23/2025 |
| Schwab Equity Ratings | C (Neutral) | 10/24/2025 |
The analyst ratings for Intel (INTC) present a cautiously optimistic outlook, with most firms leaning neutral but showing signs of improving sentiment. CFRA maintains a 3-star rating, equivalent to a “Hold”, reflecting balanced risk and reward as of October 24, 2025. Market Edge remains bullish, keeping a “Long” recommendation from August. Argus also rates Intel a “Hold”, consistent with a wait-and-see stance on near-term performance.
Morningstar, however, is more bearish with a 2-star rating, suggesting the stock is overvalued or under pressure despite broader optimism. LSEG also stays neutral with a “Hold”, while Schwab Equity Ratings assigns a “C” grade, implying average fundamentals relative to peers. Overall, the consensus leans neutral-to-moderately bullish, indicating analysts see Intel as a steady long-term play but not without lingering uncertainty in execution and market share recovery.
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Disclaimer: Options trading involves significant risk and is not suitable for all investors. You may lose the entire investment, and certain strategies may result in losses exceeding the initial amount invested. Past performance does not guarantee future results. This content is for informational purposes only and should not be considered investment advice. Always consult a financial or tax advisor before making investment decisions.
