Intel (INTC) Rallied Following the Partnership Announcement with NVIDIA

Impax Asset Management, an investment management company, released its “Impax US Sustainable Economy Fund” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. In Q3 2025, the portfolio lagged behind the Russell 1000. Similar to the second quarter, the US equity markets favored a risk-on approach, benefiting high-risk, high-momentum, and lower-quality factors. Although the portfolio’s focus on relatively modest, lower-risk, and high-quality factors contributed to the underperformance, the fund (Institutional Class) returned 7.33% in Q3 compared to 7.99% for the Index. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2025.

In its third-quarter 2025 investor letter, Impax US Sustainable Economy Fund highlighted stocks such as Intel Corporation (NASDAQ:INTC). Intel Corporation (NASDAQ:INTC) designs, develops, manufactures, markets, and sells computing and related products and services. The one-month return of Intel Corporation (NASDAQ:INTC) was -1.81%, and its shares gained 101.41% of their value over the last 52 weeks. On January 6, 2026, Intel Corporation (NASDAQ:INTC) stock closed at $40.04 per share with a market capitalization of $190.99 billion.

Impax US Sustainable Economy Fund stated the following regarding Intel Corporation (NASDAQ:INTC) in its third quarter 2025 investor letter:

"Intel Corporation (NASDAQ:INTC) (Information Technology, Semiconductors) rallied strongly in September as the company announced a partnership with Nvidia on integrating Intel’s x86 central processing units (CPUs) with Nvidia graphics processing units (GPUs) in AI server systems. Investors cheered the multi-billion-dollar investments from Softbank and the US government. The stock is in an attractive industry from a secular growth perspective and exhibits strong corporate resilience, according to the team’s analysis, primarily through its management of environmental and social risks."

Intel Corporation (NASDAQ:INTC) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 81 hedge fund portfolios held Intel Corporation (NASDAQ:INTC) at the end of the second quarter, compared to 82 in the previous quarter. In the third quarter of 2025, Intel Corporation (NASDAQ:INTC) reported $13.7 billion in revenue, marking an increase of 6% sequentially. While we acknowledge the potential of Intel Corporation (NASDAQ:INTC) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

In another article, we covered Intel Corporation (NASDAQ:INTC) and shared the list of most buzzing stocks to invest in according to hedge funds. In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.