Intel Corp. shares fell more than 4% in US trading on Monday after the chipmaker announced plans to raise $15 billion through a stock offering, seeking to capitalise on a sharp rally in its shares over the past year.
The stock was down nearly 5% in pre-market trading earlier in the session, falling 4.67% to $96.90 from its previous close of $101.65.
As of 10:28 a.m. EDT, Intel shares were trading at $97.52, down $4.13, or 4.06%.
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Despite Monday's decline, Intel shares have surged more than 400% over the past 12 months, giving the company an opportunity to raise fresh capital at elevated valuations.
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The stock offering comes as Intel looks to strengthen its financial position and invest in growth areas as artificial intelligence reshapes the semiconductor industry.
Intel said customer demand remains strong and sustainable, and pointed to "significant growth opportunities" across physical AI, custom silicon, advanced chip packaging and external wafer manufacturing.
The sharp move in Intel shares also made the stock one of the notable drags on the Nasdaq in early US market trading.
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Intel has also been able to raise prices as demand for its CPUs outpaces supply.
The company raised its 2026 capital spending guidance to more than $20 billion during its latest earnings call. Management indicated that spending could rise significantly further in 2027 as Intel seeks to expand its position in the rapidly growing AI infrastructure market.
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