This article first appeared on GuruFocus.
Intel Corp. (INTC, Financials) is in the middle of a remarkable stock run, with shares on track for a ninth straight day of gains as investors warm to the company’s growing role in artificial intelligence infrastructure.
The rally has been fueled by a string of announcements that suggest Intel is finding fresh momentum. One of the biggest catalysts was an expanded partnership with Google, which plans to use Intel’s newest Xeon 6 processors for artificial intelligence training and inference. That gave investors another reason to believe Intel can still play an important part in the next wave of AI spending.
The company also drew attention with its involvement in Elon Musk’s Terafab project, a large-scale AI chip initiative tied to future compute demand. Together, those developments have helped shift the conversation around Intel from turnaround concerns to opportunity.
There is also a broader industry backdrop working in Intel’s favor. As AI systems become more complex, CPUs are becoming increasingly important again, especially in handling the heavy coordination work behind advanced workloads.
