By Jonathan Stempel (Reuters) -A federal judge dismissed a lawsuit accusing Intel of defrauding shareholders by concealing problems in a business where it manufactured chips for outside customers, leading to a $32 billion one-day plunge in its market value.

Intel (INTC) is scheduled to report earnings after the closing bell today, with traders anticipating a sizable move from the struggling chipmaker's stock. Options pricing suggests traders expect Intel's stock could move more than 7% from its recent level near $23 by the end Friday’s trading session.

Intel (INTC) shares are down nearly 10% at the time of writing on July 25 after the semiconductor firm reported weaker-than-expected profit for its fiscal Q2. Investors are bailing on INTC this morning because its earnings outlook for the current financial quarter came in shy of Street estimates as well.

Intel reported second-quarter results on Thursday that beat Wall Street expectations on revenue, as the company's new CEO Lip-Bu Tan announced significant cuts in chip factory construction. The stock fell about 5% in extended trading. Here's how the chipmaker did versus LSEG consensus estimates:

Intel’s stock jumped early in 2025 as optimism built around new leadership, but shares fell over 9% after Thursday’s Q2 earnings and layoff announcement, threatening to erase

The chipmaker plans to reduce headcount from 96,400 to 75,000 employees amid restructuring and steeper Q3 losses.