Is Intel Stock a Buy After Its Latest Earnings Report?

Intel reported strong Q2 2026 earnings with adjusted EPS of $0.42 (double expectations) and revenue of $16.1 billion (nearly $1.7B above estimates), driven by surging AI demand. However, the stock fell 33% in the past month due to concerns over raised capex guidance ($20B for 2026, with 2027 expected to be significantly higher) and potential shareholder dilution. While the company benefits from AI infrastructure buildout, the stock trades at 59x forward earnings and carries high volatility risk dependent on sustained AI demand.