GlobalFoundries launched Quantum Technology Solutions to scale domestic manufacturing of quantum processors and cryogenic CMOS. The U.S. Department of Commerce proposed a $375 million CHIPS Act award to fund the expansion. The federal government will also acquire an approximate 1% equity stake in the company.
GFS shares surged more than 11% on May 21st following the announcement. The stock has increased by over 50% during the preceding month.
Susquehanna raised its price target for the company to $125. Baird increased its price target to $100. These revisions reflect analyst confidence in the company’s new quantum growth vector.