One of its worst days in 50 years is experienced by Intel’s stock, whose price reached levels not seen since 2013. And this in the wake of the announcement of its financial results which did not meet analysts’ estimatesbut also because of the massive restructuring it is planning.

Intel shares are down 27% at $21.22, and according to CNBC, it’s the stock’s second-worst day to date, following its 31% drop in July 1974, three years after its listing on the stock exchange. The company’s capitalization is now under $100 billion.

Intel’s numbers

The company announced for the second quarter of the year net losses of $1.61 billion., compared to net income of $1.48 billion last year. Adjusted earnings per share of 2 cents were significantly below analysts’ estimates of 10 cents. Revenue didn’t meet expectations either, coming in at $12.83 billion, versus the $12.94 billion analysts were expecting.

At the same time, the company’s management announced that will not pay a dividend in the fourth quarter of fiscal 2024, while at the same time cutting its capital expenditure estimates by more than 20%. He also stated that will lay off more than 15% of its workforce as part of the $10 billion cost reduction program.

“This is Intel’s most significant restructuring since the transition to memory microprocessors four decades ago.” Intel CEO Pat Gelsinger told CNBC. “We have charted a bold journey of rebuilding the company, which we will see through.”