Intel's Data Center Revenue Soared 59% in the Second Quarter. So, Why Did Wall Street Sell the Stock?
There was a lot to like in Intel's Q2 earnings. However, investors are taking issue with Intel's ambitious spending plans.
Overview
Intel (NASDAQ: INTC) is becoming a player in the data center boom. The embattled tech company grabbed Wall Street's attention with its Q2 2026 earnings report, headlined by impressive 59% growth in its Data Center and Artificial Intelligence (DCAI) division. It's a notable acceleration from the 22% growth Intel posted in the prior quarter.
Overall, total revenue grew 25% year over year, the fastest quarterly growth that Intel has achieved in over 15 years. Ironically, Intel's stock then tanked, closing down nearly 8% on July 24. Accompanying that top-line growth was an ugly GAAP net loss of $11.03 billion or $2.16 per share.
Details
Given that Intel stock is up over 300% over the past year, it's worth exploring this disconnect to see where the company's turnaround efforts are actually trending.
Source
Originally published at www.fool.com.