Intel Rises 3% as It Expects Reduced U.S. Grant After Winning Defense Contract

Reuters2024-11-26

Nov 25 (Reuters) - Intel expects a small reduction from the $8.5 billion preliminary U.S. subsidies planned for the chipmaker, according to a person familiar with the matter.

The $8.5 billion in direct grants were part of a larger package of loan guarantees, tax incentives and other measures announced in March.

But in September, Intel also won a $3 billion contract with the U.S. Department of Defense. The funding for that contract ended up coming from the $39 billion that U.S. lawmakers allocated for chip subsidies rather than the Pentagon's budget, which led to a reduction in Intel's direct grant award, the person said.

Shares of Intel rose 3.55% in midday trading.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • Stoid
    2024-11-26
    Stoid
    Ya dweamin folks - getting over 25 bucks is like a premature ejaculation and then back to the monotony - it's happiest place is 23.50 to 24.75 and that's all she wrote 🎃😷
  • nywles
    2024-11-26
    nywles
    Thanks 
  • Madluvyz
    2024-11-26
    Madluvyz
    Up and up it goes. Just gonna benefit my put spread trade. Hehe. 
  • iNkwiziTs
    2024-11-26
    iNkwiziTs
    Laggers 😜
Leave a comment
4
3