With shares down 60% in 2024, (NASDAQ: INTC) highlights the importance of diversifying your holdings in the stock market. The technology giant now trades at levels unseen since 2012 -- erasing over a decade of investor returns so far this year. But is the sell-off overblown? Let's discuss what the next 12 months could bring.

Founded in 1968 and rising in prominence during the PC boom of the 1990s and 2000s, Intel was the quintessential American chipmaker. The company specializes in consumer and enterprise central processing units (CPUs), which can be considered the brain behind a computer. Like many American tech companies, it also began investing more in AI-related hardware following the release of ChatGPT in late 2022.

Intel seemed to have all the characteristics of a blue-chip stock. Its business was large, established, and usually profitable. However, disastrous second-quarter earnings turned this narrative upside down.

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Source Fool.com