Intel Needs Chip Factory Win to Sustain $50 Billion Stock Rally

Intel Corp. shares are flying high after the firm secured a string of high-profile backers, but the cash infusions have done little to fix the company’s biggest problem — its money-losing chip-making operations.

The company’s new partnership with Nvidia Corp. sent Intel’s shares soaring last week, pushing this year’s advance to 48% — a move that’s added more than $50 billion in market value. The pact, which will bring $5 billion to Intel’s coffers through a share sale, follows US President Donald Trump’s plan to accelerate the payment of $8.9 billion in funding already pledged to Intel and a $2 billion investment from SoftBank Group Corp.