Intel shares tumble on weak forecast, supply woes

Intel Corp INTC.O shares falling ~16% on Fri, on track for deepest one-day drop in over a year, after co gave a weak profit and rev forecast and said it was struggling to meet strong AI-driven demand for data-center chips due to supply constraints

Co cannot keep up with demand even while running factories at capacity; CFO said he expects available supply to improve in Q2 after hitting its lowest levels in Q1

Stock remains up ~80% since last Sept, when Nvidia NVDA.O announced a $5 bln investment in INTC

INTC recently at ~80 times expected earnings, its highest valuation since the 1970s

Several analysts raised their PTs on INTC following its report late on Thur, while RBC and Citi cut their PTs

Stock last at $45.54, almost double the median PT of $23, per LSEG data