Intel (INTC) shares surged 8% as Trump administration considers investing in the chipmaker to boost domestic production. Talks are ongoing for funding to accelerate factory setup in Ohio. The move signals confidence amid global chip shortages and geopolitical tensions, potentially leading to a sustainable recovery for INTC stock.

Analyst Stacy Rasgon doubts government investment can solve Intel’s issues, maintaining a “Market Perform” rating with a $21 price target, suggesting over 17% downside. He emphasizes the need for a solid vision over more money, cautioning investors on the uncertain outcomes of the Trump administration’s involvement with Intel.

With Wall Street analysts holding a “Hold” rating on INTC shares and a mean target of around $23, caution is advised for investors at current levels. The consensus indicates a potential 10% downside, urging careful consideration of Intel stock.

Read more at Yahoo Finance: The Trump Admin Could Soon Invest in Intel. How Should You Play INTC Stock Here?