Intel has been on a parabolic move higher and the third quarter earnings report confirmed that this battered and bruised former chip champion is back. I want to add to my current Intel long position by using an options strategy that defines my risk as this under loved tech name is now up nearly 100% on the year. The beaten-down chip maker brought in a new CEO, Lip-Bu Tan, earlier in the year to help it regain lost ground in a market now dominated by Nvidia (NVDA) , Advanced Micro Devices (AMD) , and Taiwan Semi (TSM) . President Trump did suggest that the CEO step down and then did a quick 180-degree turn after the CEO visited the White House. That proved to be a strategic and wise meeting as the stock has nearly doubled since then. I have had a long-term view that Intel was an essential name to the U.S. economy, and I have owned Intel in my Essential 40 Stock ETF (ESN) . After several years of enduring volatility and uncertainty in the name, the reason to continue to own Intel was due to the chipmaking ability on U.S. soil. Additional inputs and influences (outside investments from SoFi, Nvidia, and the United States government) have moved Intel higher in recent months and I believe the laggard chipmaker is firmly on the road to recovery. With a market cap of roughly 5% of Nvidia, Intel has the ability to grow as more and more reshoring and chip manufacturing seems to be slated for 2026 and beyond. INTC 1D mountain Intel, 1-day The usage of options has never been more important as all major U.S. indices in the Dow Jones, the S & P 500 and the Nasdaq 100 chalked up additional all-time highs this morning after CPI came in cooler-than-expected, paving the way for the Fed to cut two more times before the ball drops in Times Square. The trade (buying a call spread) Bought the INTC 11/21/25 $40 call for $2.35 Sold the INTC 11/21/25 $45 call for $1.10 This debit spread will cost an investor $1.25 per one lot, or $125 This trade breaks even if Intel trades above $41.25. It was executed when INTC was trading around $40 DISCLOSURES: Kilburg is long INTC and long this call spread. All opinions expressed by the CNBC Pro contributors are solely their opinions and do not reflect the opinions of CNBC, NBC UNIVERSAL, their parent company or affiliates, and may have been previously disseminated by them on television, radio, internet or another medium. THE ABOVE CONTENT IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY . THIS CONTENT IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSITUTE FINANCIAL, INVESTMENT, TAX OR LEGAL ADVICE OR A RECOMMENDATION TO BUY ANY SECURITY OR OTHER FINANCIAL ASSET. THE CONTENT IS GENERAL IN NATURE AND DOES NOT REFLECT ANY INDIVIDUAL’S UNIQUE PERSONAL CIRCUMSTANCES. THE ABOVE CONTENT MIGHT NOT BE SUITABLE FOR YOUR PARTICULAR CIRCUMSTANCES. BEFORE MAKING ANY FINANCIAL DECISIONS, YOU SHOULD STRONGLY CONSIDER SEEKING ADVICE FROM YOUR OWN FINANCIAL OR INVESTMENT ADVISOR. Click here for the full disclaimer.
