Since Gelsinger became Intel CEO on Feb. 15, 2021, shares have dropped 63% to $22.68 at Friday’s close from $61.81.
Shares of the chip maker have lost more than half their value for the year to date alone, and set a multiyear low of $18.51 on Sept. 10. Intel stock last traded below $19 in October 2010.
If Intel stock doesn’t trade at $148.95 for 90 calendar days by Feb. 15, 2026—about 16 months from now, the fifth anniversary of Gelsinger’s hiring—outperformance PSUs with an accounting value of $45.7 million at the grant date will be canceled.
If shares don’t trade at $74.47 for those same time parameters, performance stock options valued at $29.1 million are gone. If shares don’t reach $64.54, $34.2 million of strategic growth PSUs will wither and die.
Hitting $64.54, $74.47, and $148.95 would require Intel stock to rocket 185%, 228%, and 557%, respectively, from Friday’s close.
Looks unreachable. And it’s unlikely that the wave of planned layoffs and the cancellation of free coffee and tea for employees at Intel Israel, as reported on Sunday, October 27, will contribute to such growth.
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