Intel CEO Lip-Bu Tan bought $9.7 million of stock at $64.73; two sessions later chips hit five-month lows
Intel chief executive Lip-Bu Tan put $9.7 million of family-trust cash into the stock the day before the midterm election, his second big purchase since August. The Democratic sweep that followed left chip stocks at five-month lows, and both of the CEO's 2026 entries are under water.
Vincent Jiang · 3 min read
On November 2, the Monday before the midterm election, Intel−3.75% — Intel, down 3.75 percent today chief executive Lip-Bu Tan bought 150,000 Intel shares through his family trust at a weighted average of $64.7312, in trades banded between $64.705 and $64.735, about $9.7 million in all.
The Form 4, filed on November 4, shows the Rule 10b5-1 box unchecked, a discretionary buy on his own timing rather than a scheduled plan, and the trust's stake rose 11.4% to 1,464,669 shares 1. It is his second purchase in three months: on August 11 he paid $95.00 for 105,263 shares, the same price public investors got in Intel's $20 billion stock offering that week 2.
The guidance that knocked 29% off the stock
The buy came three sessions after a record collapse. Third-quarter results on October 29 beat estimates with adjusted earnings of $0.52 against a $0.40 forecast, revenue of $16.51 billion, and Data Center and AI revenue up 78% to $7.32 billion, the strongest data-center growth in 15 years 3. The guidance did the damage: $15–16 billion for the fourth quarter against roughly $17.1 billion expected 4. The stock fell 28.6% on October 30, to $65.76, its steepest one-session drop on record 4. Tan's Monday purchase sat about a dollar below the crash close.
Q3 was Intel's record quarter; its own Q4 guide steps revenue back down
- Revenue
- Estimate
Data
| Revenue | |
|---|---|
| Q4 '24 | $14.26B |
| Q1 '25 | $12.67B |
| Q2 '25 | $12.86B |
| Q3 '25 | $13.65B |
| Q4 '25 | $13.67B |
| Q1 '26 | $13.58B |
| Q2 '26 | $16.13B |
| Q3 '26 | $16.51B |
| Q4 guide (estimate) | $15.5B ($15–16B) |
The selloff started before the ballots
On October 30 the Nasdaq fell 2.9%, its worst day since June, and the Philadelphia chip index lost 7.2% 4. Into the vote, strategists warned a Democratic Congress could restrict data-center growth, and Quilter strategist Kit Rees said curbs on AI development "could threaten to put the brakes on growth" 56.
Democrats took both chambers on November 3, with Decision Desk HQ calling 241 House seats and 54 Senate seats, and the Dow still rose more than 1,100 points the next morning 7. Chips went the other way. The group hit its lowest level since late April, with Credo−9.88% — Credo, down 9.88 percent today down 9.91%, SiTime−5.37% — SiTime, down 5.37 percent today 8.35%, Marvell−7.38% — Marvell, down 7.38 percent today 7.94% and Coherent−9.02% — Coherent, down 9.02 percent today 6.95%, and the SOX index off as much as 5.1% intraday before recovering 89. Intel traded near $58.40, down 3.6%, about 10% below the CEO's entry 2.
Both of Tan's 2026 entries sit above the tape
The CEO paid $95 in August and $64.73 in November; the stock now trades near $58.40
Data
| Price per share | |
|---|---|
| 11 Aug entry | $95 |
| 2 Nov entry | $64.73 |
| 4 Nov afternoon | $58.37 |
The demand case did not disappear
The selling has a rebuttal on the record. Goldman Sachs+3.76% — Goldman Sachs, up 3.76 percent today strategists judged a national data-center moratorium unlikely in any election outcome 5, and Reuters reported that analysts doubt any legislation could meaningfully stall construction, with hearings the likelier friction 6. AMD+1.10% — AMD, up 1.10 percent today said on November 3 that its data-center revenue nearly doubled, and the stock jumped 7% 3.
The bear case sits in Intel's own forecast: a PC slowdown through at least the first half of 2027, and fourth-quarter adjusted earnings of about $0.25 a share 34. The foundry rebound underneath is young, with outside customers at 5.1% of Intel Foundry revenue when Tan discussed working with AMD in late October 34.
The level to watch from here
At $58.40, the two purchases of 2026 sit a combined $4.8 million below what they cost, and $64.73 now works as the level the person running Intel chose with his own cash, outside any plan 12. Next readings are dated: the fourth-quarter report in January, the first AI hearings of the new Congress, and any third Form 4, which would say more than the second 12. Insiders sell for many reasons, in Peter Lynch's old line, and buy for one; Tan has now paid that one reason twice.
Get Chips by email, free
How AI demand is reshaping chipmakers, memory and the fabs behind them. In our daily email, every weekday.
