October 26, 2025

finance  
Intel Stock Soars, Microsoft Uses 18A, Google Nears $3T

The artificial intelligence sector continues to see significant activity across major tech players and emerging companies. Intel is experiencing a resurgence, with its stock soaring due to strong third-quarter revenue of $13.7 billion, driven by AI server demand and a revival in its foundry business. Microsoft is deepening its AI integration, planning to use Intel's advanced 18A process for its next-generation Maia AI chip, signaling confidence in Intel's manufacturing capabilities. Meanwhile, Alphabet's stock has reached record highs, nearing a $3 trillion market cap, fueled by a robust advertising rebound and over $24 billion in AI and cloud infrastructure investments. Amazon Web Services (AWS), however, is reportedly lagging behind rivals Microsoft Azure and Google Cloud in AI growth, facing challenges with GPU allocation and partnerships, though improvements are expected with new data centers and an enhanced partnership with Anthropic. Palantir Technologies and BigBear.ai are under investor scrutiny ahead of their third-quarter earnings reports, both having seen substantial stock gains this year. SoundHound AI, a conversational AI company, experienced a slight stock dip but continues to advance its voice AI technology. In the realm of AI infrastructure, Brookfield plans to invest up to $200 billion in AI factories, and NextEra Energy is committing $75 billion to power infrastructure, addressing the immense energy demands of AI. This AI energy crunch, projected between 2025 and 2028, is also prompting interest in small modular reactors, with companies like Oklo Inc. developing solutions. The biodefense sector is seeing new ventures, with Valthos launching with $30 million in funding to develop AI tools for threat detection, counting former Palantir and Google DeepMind talent among its team. Schrodinger, utilizing AI for drug discovery, is also set to report its Q3 earnings, with investors watching its leadership in the biotech AI space.

Key Takeaways

  • Intel's stock has risen significantly, with Q3 revenue reaching $13.7 billion, boosted by AI server demand and its foundry revival.
  • Microsoft plans to use Intel's 18A process for its next-generation Maia AI chip, highlighting a key partnership.
  • Alphabet's stock hit record highs, nearing $3 trillion in market cap, driven by AI investments and ad business growth.
  • A report suggests AWS is lagging Microsoft Azure and Google Cloud in AI growth, though improvements are anticipated.
  • Palantir Technologies and BigBear.ai stocks are being closely watched ahead of their Q3 earnings reports, following strong year-to-date gains.
  • SoundHound AI, a voice AI company, saw a minor stock decrease amid ongoing technological advancements.
  • Brookfield plans to invest up to $200 billion in AI factories, and NextEra Energy is investing $75 billion in power infrastructure to meet AI demand.
  • The AI boom is creating an energy crunch, with small modular reactors being explored as a potential solution.
  • AI biodefense startup Valthos launched with $30 million in funding, featuring former Palantir and Google DeepMind talent.
  • Schrodinger, an AI drug discovery company, is preparing to release its Q3 2025 financial results.

Intel stock soars as AI and foundry revival boost 2026 outlook

Intel's shares have risen significantly this year, showing signs of a strong comeback. In the third quarter, the company's revenue reached $13.7 billion, exceeding expectations. Demand for AI servers and improved supply chains fueled this growth. Intel is also strengthening its financial position by securing significant cash through strategic deals. The company is working with Nvidia to integrate processors and NVLink technology, positioning itself for future AI growth.

Microsoft AI deal and foundry revival target $47 for Intel stock

Intel's stock is showing renewed strength, with Q3 2025 revenue hitting $13.7 billion and beating Wall Street forecasts. This rebound is driven by cost discipline and a focus on higher-margin AI products. A key development is Microsoft's plan to use Intel's advanced 18A process for its next-generation Maia AI chip. This partnership, along with investments from Nvidia and SoftBank, signals strong confidence in Intel's role in U.S. AI infrastructure. Analysts are increasingly optimistic about Intel's turnaround potential.

Palantir and BigBear.ai AI stocks watched ahead of Q3 earnings

Investors are closely watching Palantir Technologies (PLTR) and BigBear.ai (BBAI) as they prepare to report their third-quarter earnings. Both AI stocks have seen significant gains this year, with BBAI up 65% and PLTR up 140%. Despite this strong performance, analysts remain cautious about both companies. BigBear.ai is scheduled to report its Q3 2025 earnings on November 10, while Palantir's earnings report is also anticipated soon.

SoundHound AI stock dips amid market activity

SoundHound AI (NASDAQ:SOUN) shares experienced a slight decrease of 1.4% on Friday. The company is a key player in conversational artificial intelligence, focusing on voice AI technology for natural, hands-free interactions. SoundHound AI continues to advance its technology, particularly in large language models and voice recognition. Investors are monitoring its progress in expanding market share and monetizing its innovative technology.

AWS lags cloud rivals in AI growth, report suggests

A Bernstein research report indicates that Amazon Web Services (AWS) is falling behind competitors like Microsoft Azure and Google Cloud in the artificial intelligence sector. The report cites AWS's slower growth rate, limited GPU allocation, and fewer AI partnerships as key factors. While AWS's stock performance has lagged, Bernstein maintains an 'outperform' rating on Amazon with a $250 price target. The brokerage expects AWS to improve as new data centers, including Project Rainier, come online and as its partnership with Anthropic strengthens.

Microsoft AI integration sparks debate amid lawmaker stock sales

Microsoft is heavily investing in artificial intelligence, integrating AI capabilities across its products like Azure and Office. However, some lawmakers have recently sold their Microsoft stock, creating a contrast between the company's AI advancements and insider trading activity. Despite these sales, many analysts view Microsoft as a strong AI growth opportunity due to its market position, cloud infrastructure, and ongoing innovation. The company's strategic AI initiatives are seen as robust for future growth.

AI energy crunch looms: Small reactors offer a solution

The rapid growth of artificial intelligence is creating a massive demand for electricity, potentially leading to an energy shortage known as 'The Crunch' between 2025 and 2028. Morgan Stanley estimates a significant power shortfall for U.S. data centers. Small modular reactors (SMRs) are proposed as a solution, offering faster deployment than traditional nuclear plants. Companies like Oklo Inc., backed by figures like OpenAI's Sam Altman, are developing these SMRs to meet the energy needs of the AI boom.

Schrodinger AI edge in drug discovery faces Q3 results test

Schrodinger, a company using artificial intelligence to speed up drug discovery, is set to release its third-quarter 2025 financial results on November 5, 2025. The company has gained attention for its pioneering AI applications in biotechnology. Investors are watching to see if Schrodinger can maintain its leadership in AI within the drug discovery sector as its Q3 earnings approach. The company's performance will be key to its long-term investment outlook.

Alphabet stock hits record highs on AI investments and ad revival

Alphabet's stock reached all-time highs in October 2025, with its market capitalization nearing $3 trillion. This surge is driven by a strong rebound in its advertising business, including Search and YouTube ads, and significant AI investments. The company announced over $24 billion for new AI and cloud infrastructure. Analysts are largely optimistic, raising price targets for Alphabet's shares. A recent legal ruling also removed a significant antitrust overhang, further boosting investor confidence.

AI biodefense startup Valthos launches with $30 million funding

Valthos, a new startup focused on using artificial intelligence for biodefense, has launched with $30 million in funding from investors including the OpenAI Startup Fund, Lux Capital, and Founders Fund. The company develops AI tools designed to detect and neutralize biological threats more rapidly than current systems. Valthos aims to significantly reduce the time from threat identification to response, potentially from months to hours. Its team includes former leaders from Palantir Technologies, Oxford University, and Google DeepMind.

Brookfield and NextEra Energy lead AI infrastructure investments

Brookfield Corporation and NextEra Energy are identified as top stocks for investing $1,000 due to their significant roles in the AI infrastructure boom. Brookfield plans to invest up to $200 billion in building AI factories, while NextEra Energy is investing $75 billion in power infrastructure to meet surging demand. Both companies are well-positioned to capitalize on the estimated $7 trillion investment needed for AI data centers and related infrastructure over the next decade.

Sources

AI Artificial Intelligence Intel Microsoft Nvidia Palantir BigBear.ai SoundHound AI AWS Google Cloud Amazon Web Services Microsoft Azure Alphabet Schrodinger Valthos Brookfield NextEra Energy AI Infrastructure Data Centers Cloud Computing Semiconductors Foundry AI Servers Drug Discovery Biodefense Energy Demand Small Modular Reactors Stock Market Investment Financial Results Earnings