Intel Suffers Worst Decline in 17 Months After Weak Forecast

Intel Corp. shares plunged 17% after Chief Executive Officer Lip-Bu Tan gave a lackluster forecast and warned that the chipmaker was struggling with manufacturing problems.

First-quarter projections for revenue and earnings both fell well short of Wall Street estimates. And a conference call with analysts, where Tan said it would take “time and resolve” to turn around the company, sent the shares down further. Production snags have hampered the comeback bid, a disappointment for investors who anticipated more of a boost from new products.