INTC
The comeback story is getting expensive
Intel has been one of the market’s favorite redemption arcs this year. The stock has more than doubled as investors bet the chipmaker can rebuild its foundry business, win outside customers, and muscle back into the AI race.
But JPMorgan is basically saying: hold up, the movie is not over yet.
Why the bank is betting against the bounce
In its latest Top Short Ideas report for the third quarter, JPMorgan named Intel one of its highest-conviction short ideas. The bank’s argument isn’t that Intel has no turnaround plan — it’s that the stock already trades like the turnaround is basically a done deal.
The reality check looks a lot less shiny:
- Intel’s foundry business still has only minimal external customer revenue
- Margins there are still deeply negative
- Broad third-party adoption hasn’t really shown up yet
- Its core PC and server businesses are still losing market share
In other words, the market is paying for tomorrow’s victory lap while today’s scoreboard is still messy.
The bigger message for investors
JPMorgan’s broader short list also includes names like Moderna, Avis Budget, IREN, and Wix, but the common thread is the same: expectations may be sprinting ahead of execution.
For Intel, that means the next leg of the story needs more than AI buzzwords and comeback vibes. Investors are going to want proof — real foundry customers, better profitability, and a core business that stops leaking share.
Big picture: if Intel can keep turning narrative into numbers, the rally makes sense. If not, JPMorgan thinks the stock may have already eaten the good news.