What's Going On With Intel Shares

Intel Corporation INTC shares are trading lower by 1.5% to $33.92 Thursday morning. The stock is falling potentially amid weakness in the Nasdaq-100 QQQ following Wednesday's earnings reports from Netflix and Tesla.

Intel may be falling amid weakness in peer chipmaker Taiwan Semiconductor Mfg. Co. Ltd. after the company reported worse-than-expected second-quarter earnings results.

Additionally, Wolfe Research analyst Chris Caso initiated coverage on Intel on Thursday with an Underperform rating and announced a price target of $27.

Intel and TSM are major players in the semiconductor industry, but they operate in different segments. TSM is a foundry, meaning it manufactures chips for other companies, while Intel is both a chip designer and a manufacturer.

If TSM's earnings disappoint, it might suggest that some companies are turning to alternative foundries for chip production, potentially indicating increased competition for Intel in the chip manufacturing space.

This could raise concerns about Intel's market share and its ability to maintain its dominant position.