Intel, AMD Drop on SK Hynix HBM Weakness, Intel 18A Delay

Intel and AMD shares slid sharply on July 16 after SK Hynix posted its largest single-day decline amid weaker-than-expected average selling prices for high-bandwidth memory (HBM). The HBM update triggered selling across memory suppliers and broader chipmakers.

Intel fell further after reports indicated profitable yields for its 18A manufacturing node could be delayed into late 2026 or 2027. JPMorgan named Intel a “top short idea,” noting the stock’s year-to-date rally had priced in a stronger near-term recovery.

AMD also declined. For the quarter, AMD reported $5.8 billion in data-center revenue versus Intel’s $5.1 billion, the first time AMD has reported higher quarterly data-center revenue than Intel.

Investors revisited a large equipment backlog at ASML, with some market participants viewing the backlog as a possible sign that manufacturing capacity is growing ahead of demand. That view raised concerns about potential excess supply in memory and AI-hardware markets.

Market flows showed institutional investors taking profits after large gains earlier in 2026, reallocating from high-beta chip names into large-cap U.S. technology stocks and certain Chinese technology companies that focus on AI services and software rather than building hardware.

Despite the pullback on July 16, Intel and AMD shares remained more than twice their prices from the start of 2026. The trading moves on Thursday followed the weaker HBM pricing, reports about 18A yields and the JPMorgan short call.