set a new 52-week low Friday, as investors continued to react to the company's disappointing financial results.
Intel missed its revenue guidance when it
announced Tuesday that it generated $10.2 billion in fourth-quarter sales, below its own guidance. And the company's weak outlook for the current quarter heightened concerns that the chipmaker was continuing to lose market share to rival
Advanced Micro Devices
Shares of Intel closed down 64 cents, or 2.9% Friday, to $21.76, below its previous 52-week low of $21.89. Since the company reported its earnings after Tuesday's market close, its shares have dropped nearly 15%.
Semiconductor stocks in general took a beating Friday, with the Philadelphia Semiconductor Index down 4.2%. Even AMD, whose stock surged after it reported its own financial results on Thursday, lost ground Friday, with shares closing down nearly 4% to $35.70.
For Intel, the new low capped a brutal week in which the company saw its stock downgraded by more than a half-dozen brokerage firms. After Intel suffered from some capacity constraints and inventory issues in the second half of 2005, many analysts had been expecting it to show the first signs of how it would regain its stride during Tuesday's earnings report.
Instead, Intel said sales in its current quarter would be worse than normal and acknowledged that AMD had stolen some market share. Intel executives have vowed to retake share from AMD in 2006, with a new lineup of products and a plan to aggressively boost its capital expenses and R&D spending.