Intel now plans to raise $20 billion in its stock offering. The chip maker's shares were edging down early Tuesday as shareholders digested the discount for the fund-raising.

Intel said late Monday it would increase the stock offering to $20 billion from $15 billion originally. It is planning to issue 210.5 million shares at a price of $95 a share.

Shares were up 0.5% at $97.99 in premarket trading Tuesday. The stock fell 4.1% to close at $97.52 on Monday when Intel originally disclosed the fund-raising plan, giving the company a market capitalization of around $492 billion.

Intel is taking advantage of its surging stock price. The stock was one of Barron's picks for 2026 and is up more than 160% this year through Monday's close, although it has dropped 19% in the past three months.

It's no secret why the company needs cash, as it plows money into expanding its chip production. Intel management said in its recent earnings call that they were raising their 2026 capital expenditure estimates to more than $20 billion, up from around $18 billion, as the company works to meet the rising demand of its products.

The company's free cash flow is expected to be modestly negative this year, according to FactSet and was a cumulative negative $44 billion between 2022 and 2025. However, it is investing heavily amid hopes that its current 18A and future 14A chip-manufacturing processes can attract outside customers and therefore offset the billions of dollars' worth of quarterly losses it is booking in its foundry unit.