Fresh off $1.6 Billion Loss, Intel Prepares for Possible Activist Investors

By Claudia Assis

Intel Corp. has hired advisors, including those with Morgan Stanley, to help defend the company against potential shareholder activism, CNBC reported late Friday.

The report cited people familiar with the matter, who asked not to be identified due to confidentiality. Intel (INTC) and Morgan Stanley (MS) did not immediately respond to requests for comment from MarketWatch.

Intel shares were holding to a 1% advance in after-hours trading Friday, after ending the regular session up 2.2%.

The stock has seen steep losses recently, however. It is down nearly 70% this year as the company struggles to find its footing in the new AI landscape dominated by rival Nvidia Corp. (NVDA), and earlier this month posted a $1.6 billion quarterly loss.

See also: Intel has sold its stake in Arm after a big rally for the chip-design stock

It was unclear Friday whether Intel was under new activist pressure, as no formal campaign has been launched and there were no reports of an activist investor contacting the board.

In recent months, Elliott Management has mounted an offense against Southwest Airlines Co. (LUV) and Starboard Value has called for changes at software company Autodesk Inc. (ADSK), to name a few instances of shareholder activism.

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