Intel shares outperformed the Nasdaq in premarket trade following a report that the company is looking to raise computer chip prices next month.

Shares gained 3% to $98.64 in premarket trade Tuesday, even as futures for the tech-heavy Nasdaq slipped 0.2%.

Santa Clara, Calif.-based Intel is planning to lift prices on its central processing units by 10% in early October, Taiwan-based technology publication DigiTimes reported, citing unnamed sources.

The potential price hike--which would follow a price-raising pattern begun at the end of 2025--would be a response to supply-chain costs and strong demand, the report said.

Intel didn't immediately respond to a request for comment.

The move to raise chip prices even as the computer market is expected to shrink next year suggests Intel is prioritizing gross margin expansion rather than expanding market share, Citrini analyst Jukan Choe said in a post on X.

The precipitous run-up in memory chip prices so far this year, driven by surging demand from artificial-intelligence companies, is biting into the broader tech sector. In April, Intel said rising costs of memory chips and other key components would reduce the total market for PCs by a low double-digit percentage.

Separately, Intel said in a joint statement with Dutch company ASML on Monday that it was using the most advanced type of extreme ultraviolet lithography machines in its chip making facilities.

More than 1 million wafers have been processed using the high numerical aperture machines, Intel said.