Nvidia Just Officially Bought $5 Billion Worth of Intel Stock. Should You Buy INTC Too?

Nvidia (NVDA) has completed its $5 billion equity investment in Intel (INTC), the semiconductor giant confirmed in a filing on Monday. The announcement finalizes a deal first announced in September that positions the world’s most valuable company as a roughly 4% stakeholder in its struggling rival.

The AI chip leader purchased over 214.7 million Intel shares at $23.28 apiece in a private placement, a price that now sits 36% below Intel’s recent trading levels, according to the filing.

The transaction, which received regulatory clearance from the Federal Trade Commission earlier this month, could serve as a major financial lifeline for Intel after years of missteps and capital-intensive manufacturing expansions that have drained its resources.

The companies announced they will collaborate on multiple generations of custom data center and PC products, including Nvidia-designed x86 CPUs for AI infrastructure and system-on-chips combining Intel CPU cores with Nvidia RTX GPU chiplets. 

However, neither chipmaker has committed to moving Nvidia’s crown-jewel GPU production away from Taiwan Semiconductor Manufacturing Company (TSM) to Intel’s contract manufacturing services.

Is Intel Stock a Good Buy Right Now?

Valued at a market cap of $175 billion, INTC stock has returned almost 90% in 2025. Despite strong demand for its legacy chip, Intel is wrestling with manufacturing…