Intel (INTC) Stock Jumps 5% as 18A Yields Surge and Analysts Take Notice

TLDR

• Intel stock rose 3.6% in pre-market after yield improvements on its 18A process node climbed to ~85%, up from ~65% last quarter
• KeyBanc raised its price target to $155 from $110, keeping an Overweight rating
• ASML confirmed Intel was the first chipmaker to achieve production qualification on High NA EUV lithography
• Nova Lake chip production is being moved in-house, signaling confidence in the 18A process
• Rosenblatt raised its target to $65 from $50 but kept a Sell rating, citing yield concerns limiting growth to ~20% year-over-year

---

Intel (INTC) stock climbed 3.6% in pre-market trading on July 15, finishing the session up 4.50%, as a string of manufacturing and analyst updates landed in quick succession.

Intel Corp., INTC

The biggest driver was a reported jump in yields on Intel’s 18A process node — from roughly 65% last quarter to around 85% now. That puts Intel behind only TSMC’s N2 process, which sits at around 90%, and well ahead of Samsung’s competing node.

That’s not a small gap to close. And the market noticed.

Adding to the momentum, reports surfaced that production of Intel’s next-generation Nova Lake chip is being moved in-house rather than outsourced. That’s a vote of confidence in 18A from Intel’s own teams — and it matters for the foundry narrative.

KeyBanc Raises Price Target to $155

KeyBanc was the most bullish voice of the day. The firm raised its price target on INTC to $155 from $110, maintaining its Overweight rating. The analyst said yield improvements are “fundamentally changing the investment thesis.”

KeyBanc also pointed to Intel Foundry securing design wins from major tech customers, with server CPU demand holding strong — partly driven by agentic AI workloads pushing both volume and capacity needs higher.

Not everyone is as optimistic. Rosenblatt also raised its target, moving from $50 to $65, but kept its Sell rating. Analyst Kevin Cassidy acknowledged strong CPU demand but said low yields could cap year-over-year growth at around 20%.

Two analysts, two very different conclusions.

ASML’s quarterly results gave the whole chip sector a lift. The equipment maker beat revenue and profit expectations and raised its full-year guidance for the second time in 2026. Buried in that report was a detail that caught Intel bulls’ attention: ASML specifically named Intel as the first chipmaker to achieve production qualification on High NA EUV lithography — the most advanced chip-printing technology available.

That confirmation adds credibility to Intel’s process claims and helped lift sentiment across the sector. The Nasdaq gained 0.6%, the S&P 500 rose 0.3%, and the Dow added 0.3% on the day.

Intel Earnings Due Later This Month

Intel’s Q2 earnings report is due later this month. Investors are watching closely for an update on how the foundry transformation is tracking.

The combination of yield gains, in-house production confidence, a major price target raise, and ASML’s endorsement of Intel’s lithography progress stacked up into a strong catalyst day for INTC.

Rosenblatt’s Sell rating and the 20% growth ceiling concern remain the counterpoint heading into earnings.