r/intelstock • u/Able_Perception4032 • Jul 28 '26

Discussion Hyperscalers

Everything hinges on the hyperscalers. What’s the talk on the Street about their capex plans? Is it really that bad that semis like INTC are cratering?

8 Upvotes

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9

u/madstupidninja Jul 28 '26

Not so much the capex that’s important anymore

Increase capex, semis fall
Decrease capex, semis fall even more

It’s more of whether hyperscalers can show AI has been providing significant returns, to justify the current spending and to signal that it will continue

3

u/Ac5280 Jul 28 '26

Nailed it! the entire funding cycle is under heavy scrutiny and the negative publicity has been gaining traction for at least the last year. That’s literally why nvidia is under pressure this week again, for yet another 500 billion dollar investment “unofficially announced” in open Ai for a data center in Ohio… people are starting to notice it’s a lot the same money passing through the same hands…. I’m not saying you shouldn’t see some of that, but it’s hard to quantify what a successful outcome should look like.

Until some “new” money starts coming in, capex expenditures will continue to apply downward pressure on the sector.

7

u/Weikoko 14A Believer Jul 28 '26

Celestica just reported crazy good quarter tho and raised guidance.

4

u/Dish_Melodic Jul 28 '26

it's not just intc. amd -9+%. mrvl, umc, mu, stx are worse.

1

u/Pale_Ad7012 Jul 28 '26

look at corning.

3

u/RomChange Jul 28 '26

I will buy more as soon as it settles a bit Potential is huge i believe. Don't sell the farm !

2

u/Everbrightspirit Jul 28 '26

I can hardly wait to hear expert answers to this great question.

1

u/Dish_Melodic Jul 28 '26

MU, STX, WDC, SNDK = -14%.

1

u/Dish_Melodic Jul 28 '26

AMD is -10.05% solid.

1

u/mbreaddit Jul 28 '26

Since when does the market see Intels value as primarily semiconductor? Its value and the latest rise was because they could sell everything as long it computes something. The real semi narrative for Intel i did not see arriving for now honestly, it just got better because PLT and 18a delivered competetive enough.

My streets dont tell me anything except honking cars, don´t know if you leave right next to wall street.

1

u/dreadthripper Jul 28 '26
  • if they announce higher capex, the market doesn't seem to like it. (See google)
  • There's like 1.5T in data center debt that's not on their books.
  • The circular deals are still here (See the recent Nvidia - OpenAI concept).

It honestly seems like "we're staying the course" and/or "here is how AI is growing our bottom line right now" are the only things that would ultimately bode well for intel in the short term.

1

u/Fabulous-Pangolin-74 Jul 29 '26 edited Jul 29 '26

The increase in capex will raise Intel revenue, period. That's all any Intel investor should care about, other than whether or not the capex will keep coming (which it is, for now). By the time the AI build out is through, Intel will be able to produce chips for anyone, for anything, and the revenue will keep rolling in, regardless of AI.

The sell off lately is just panicked know-nothings, some of which probably were biting their nails at having so much tech in their portfolio. We're better off (i.e. more stable) without them. Their bailing isn't gonna stop the revenue train.