When Intel's stock sank on earnings, this executive bought the dip

By Emily Bary

CFO David Zinsner recently scooped up $250,000 worth of stock, reflecting 'belief in Intel and commitment to creating shareholder value'

Intel's stock rose premarket on Wednesday after an executive disclosed newly purchased shares.

Intel CFO David Zinsner is putting some of his own money on the line in a bet that the stock's sharp post-earnings decline was only temporary.

Zinsner scooped up 5,882 Intel shares (INTC) on Monday at an average price of $42.50, according to a filing with the Securities and Exchange Commission put out late Tuesday. He spent $250,000 on the purchase.

"Dave's purchase reflects his belief in Intel and commitment to creating shareholder value," an Intel spokesperson told MarketWatch.

Shares had been on a strong run leading up to Intel's earnings report last Thursday, when the company's commentary failed to match Wall Street's hype. In particular, investors had grown hopeful about the company's foundry business, but management revealed that customer decisions on whether to use Intel's forthcoming manufacturing technology aren't expected until the second half of this year. And while Intel is playing into an artificial-intelligence-fueled boom in server central processing units, it doesn't have enough supply to meet all its demand.

See also: Intel delivers a reality check after stock surge fueled by 'vibes and tweets'

That led Intel shares to drop nearly 22% from Thursday's close to the point at which Zinsner made his Monday purchase. Shares bounced more than 3% in Tuesday's regular session and were up another 5% in premarket trades on Wednesday.

Read: Why AMD's stock was charging higher as Intel's sank

Zinsner's new holdings represent a small fraction of the Intel shares he owns. Tuesday's filing showed that he had direct ownership of more than 247,000 shares. Those are worth nearly $10.9 million based on Tuesday's closing price of $43.93.

Even with the recent weakness, Intel shares have still more than doubled over the past 12 months. Zinsner's purchase could prove a timely buy-the-dip moment if the stock rebounds meaningfully, but it remains to be seen whether the company can deliver on the things that had reenergized investors in the weeks and months leading up to last week's earnings report.

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-Emily Bary

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01-28-26 0748ET