The linchpin moment in Intel (NASDAQ: INTC) stock’s recovery after the 2024 market downturn came in August 2025, when President Donald Trump’s administration made a massive investment in INTC equity.
Specifically, the purchase of $8.9 billion worth of common stock, agreed upon on August 22, saw the semiconductor giant rally from $24.80 on the day to $48.72 at the January 14 closing bell for a remarkable 96.45% rally.
Such a rally means that any investors who took the U.S. government’s decision as a bottom signal for Intel shares and invested $1,000 in the equity would, at press time on January 15, have $1,964.50, meaning they would have made a profit of nearly $965.
The 2026 Intel stock bull case
Although far from its 2024 and 2025 lows, Intel stock remains an attractive strategic investment in 2026. The semiconductor giant has been gaining positive momentum in recent trading, having, along with the 96% rally since late August, risen 112.57% in the last six months, and 147.06% in the last year.
Strong performance has also continued in 2026, with the upsurge in the year-to-date (YTD) chart possibly being the most impressive part of the equation, given it amounts to 23.72%, by press time on January 15.
A notable part of the YTD rally can, much like the start of the recovery in 2025, be attributed to President Donald Trump, considering that INTC shares rallied 10% after the Intel CEO met with the commander-in-chief on January 8.
Why Intel is strategically important for the U.S.
An especially important element of Intel’s business is the fact that it operates microchip foundries.
In the long-run, this fact could raise the company’s importance for the U.S. government, considering that the vast majority of the world’s semiconductors originate in the politically-sensitive island of Taiwan, with a single company – Taiwan Semiconductor Manufacturing (NYSE: TSM) – accounting for about half of production.
The Federal Government’s focus on ensuring domestic production is also highlighted in its efforts to help TSMC bring some of its capacity to American shores.
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