Quick Read – Intel (INTC) is in talks to acquire AI chip startup Tenstorrent, led by legendary designer Jim Keller, to expand its RISC-V based AI accelerator capabilities and close the gap with NVIDIA (NVDA) and Advanced Micro Devices (AMD). – Intel is rebuilding credibility in…
dicated AI silicon through aggressive M&A while facing valuation concerns, with shares trading 26% above analyst consensus price target and a forward P/E ratio of 135x after a 62% one-month surge. – The analyst who called NVIDIA in 2010 just named his top 10 AI stocks. Get them here FREE
Shares of Intel (NASDAQ:INTC) are up 5% in early trading Wednesday, changing hands near $116.20 after closing Tuesday at $110.80. The catalyst is a late Tuesday report that Intel is in talks to acquire AI chip startup Tenstorrent. The move extends what has already been one of the most powerful large-cap rallies of the year.
Intel stock is now up 200% year to date and 418% over the past year, riding momentum from a turnaround story that keeps adding chapters. Today’s reported deal news lands on top of a fresh Citi price target hike earlier this week, amplifying the narrative that Intel is rebuilding credibility in dedicated AI silicon. Investors are treating the Tenstorrent headline as confirmation that Intel CEO Lip-Bu Tan is willing to use M&A aggressively to close the gap with NVIDIA (NASDAQ:NVDA) and Advanced Micro Devices (NASDAQ:AMD).