Despite beating second quarter revenue expectations, the tech company faces analyst discomfort over its layoffs and possible manufacturing cancellations.

Back in April, Intel Corp.’s newly appointed Chief Executive Officer Lip-Bu Tan told investors on his inaugural earnings call that turning around the troubled chipmaker would take time.

Intel shares plunged Friday, a day after the chipmaker reported mixed results amid uncertainty about its ability to engineer a turnaround.

A federal judge dismissed a lawsuit accusing Intel of defrauding shareholders by concealing problems in a business where it manufactured chips for outside customers, leading to a $32 billion one-day plunge in its market value.

After all, Lip-Bu Tan is not just tweaking the playbook for Intel stock – he’s rewriting it! Since stepping into the role in March 2025, Lip-Bu Tan has initiated a sweeping transformation that diverges sharply from the expansive, capital-heavy strategy of his predecessor, Pat Gelsinger.

Intel’s stock dropped 9% after the chipmaker said it would slash foundry costs in its latest attempt to turnaround its struggling business.

Intel Corporation's latest Q2 earnings have embedded several bombshell updates to its turnaround strategy. Click here to find out why INTC stock is a Hold.