Intel became the number one trending ticker on Yahoo Finance this morning after Nvidia (NVDA) announced a $5bn (£3.7bn) investment to co-develop data centre and computer chips.
Nvidia’s investment will be made at a price of $23.28 per share, according to a company release. Intel's stock surged by 22.8%, closing at $30.57 on Thursday, following the announcement. It was Intel's best day on the market since October 1987. Meanwhile, Nvidia shares saw a more modest rise of 3.54% on the same day.
“This historic collaboration tightly couples Nvidia’s AI and accelerated computing stack with Intel’s CPUs and the vast x86 ecosystem — a fusion of two world-class platforms. Together, we will expand our ecosystems and lay the foundation for the next era of computing,” said Nvidia CEO Jensen Huang in a statement.
The chipmaker, which has faced increasing competition from rivals like AMD (AMD), now counts Softbank (9984.T) and the US government among its major backers. In August, the Trump administration brokered a deal to secure a 10% stake in Intel.
Read more: FTSE 100 LIVE: Stocks mixed while pound and gilts slide as UK retail sales beat expectations
The deal does not appear to involve the manufacturing of Nvidia’s chips by Intel’s foundry. Instead, Intel will focus on building x86 central processing units (CPUs) for Nvidia’s AI infrastructure platforms. Additionally, the two companies will collaborate on creating x86 system-on-chips using Nvidia’s RTX graphics processing units (GPUs), designed to power next-generation computing systems.
FedEx shares saw a 5% uptick in pre-market trading after the package delivery giant reported stronger-than-expected fiscal first-quarter results, surpassing both top and bottom-line estimates.
For the quarter ending August 31, FedEx posted net income of $820m, or $3.46 per share, compared to $790m, or $3.21 per share, in the same period last year. After adjusting for FedEx Freight spin-off costs and other charges, the company reported adjusted net income of $910m, or $3.83 per share. The company's quarterly revenue of $22.24bn also exceeded analysts' expectations of $21.66bn.
However, global tariffs, particularly those stemming from the end of the de minimis exemption for China and Hong Kong, shaved off $150m from first-quarter revenue. Chief customer officer Brie Carere warned that this impact will probably continue throughout the year.
The Memphis-based company saw a 6% increase in average daily volumes in the US, further supporting its performance.
Looking ahead, FedEx projected revenue growth in 2026 of between 4% and 6%, well above Wall Street’s more modest estimate of 1.2%. The company also expects fiscal year 2026 earnings per share to fall between $17.20 and $19, with a midpoint of $18.10, slightly below the Wall Street forecast of $18.21.
