By Colin Kellaher


Intel Corp. on Wednesday said it is slashing its dividend by about two-thirds, as the chip maker resets its capital-allocation strategy amid economic uncertainty.

The Santa Clara, Calif., company said it is reducing its quarterly dividend by nearly 66%, to 12.5 cents, from 36.5 cents.

The new payout, equal to 50 cents a year, represents an annual yield of about 1.92% based on Tuesday's closing price of $26.06, down from 5.6%.

Intel, which last month reported a fourth-quarter loss amid a souring market for its chips and growing competition from rivals, said the dividend cut would provide improved financial flexibility to critical investments during a period of macroeconomic uncertainty.

The company shelled out $6 billion in dividends last year.

Intel said the reduced dividend is payable June 1 to stockholders of record May 7.


Write to Colin Kellaher at


(END) Dow Jones Newswires

February 22, 2023 08:05 ET (13:05 GMT)

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