Intel Stock Maintains 10% Gain Following Analyst Forecast of Significant Apple Partnership

Intel shares surged 10% on Friday following a bullish forecast from respected analyst Ming-Chi Kuo. He predicted that Intel may start supplying Apple with its lowest-end M processors as early as the second or third quarter of 2027.

This optimistic outlook came amid reports that Intel is close to clinching a chip supply deal with Apple. Kuo highlighted that recent industry surveys show improved visibility for Intel to become an advanced-node chip supplier to Apple.

Intel’s potential entry into Apple’s supply chain marks a significant shift, as Apple currently relies heavily on Taiwan Semiconductor Manufacturing Company (TSMC) for its iPhone, iPad, and Mac chips. Kuo reassured investors that this deal would likely have minimal impact on TSMC’s business, given that Intel’s initial shipments will focus on lower-volume, entry-level processors.

The timeline depends on Intel’s delivery of its process design kit (PDK), expected in early 2026. This blueprint will allow Apple’s engineers to begin chip development based on Intel’s technology. Kuo emphasized that successful collaboration following the PDK release is critical to meeting the projected 2027 shipping window.

Paul Markham, investment director at GAM Global Equities, noted that having Apple as a reference customer would significantly validate Intel’s foundry capabilities. He said, “If Intel pulls it off, there is potential to win higher volume and value business from Apple and other major chip designers.”

Intel’s stock has rebounded considerably after falling to lows under $18 in April. The anticipated Apple partnership has helped fuel renewed investor confidence in the company’s strategic direction.

Kuo also pointed out that Apple’s possible use of Intel chips would align with U.S. government efforts to boost domestic manufacturing among major tech firms. However, neither Intel nor Apple has confirmed the deal publicly.

Overall, Intel’s prospect of supplying Apple represents a potentially transformative opportunity to regain relevance in the premium chip market. The situation will remain under close market watch as developments unfold toward 2027.