GlobalFoundries Stock Soars on Quantum Technology News
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 54 minutes ago
0mins
Source: Fool
- Significant Stock Surge: GlobalFoundries' stock price surged by 20.6% this week, contrasting with the S&P 500's 0.9% increase, indicating strong performance in the quantum computing sector that is likely to enhance its market position.
- New Quantum Business Unit: On May 21, the company announced the launch of its Quantum Technology Solutions business unit, focusing on manufacturing technologies for the quantum computing industry, marking a strategic move into cutting-edge technology.
- Government Investment Support: GlobalFoundries secured a $375 million letter of intent from the U.S. Department of Commerce, which will be used to bolster its manufacturing capabilities for quantum technology, further solidifying its competitive edge in the quantum computing market.
- Increased Industry Recognition: TD Cowen named GlobalFoundries one of the three biggest winners of the U.S. government's latest quantum investment push, highlighting its potential in the quantum space and likely attracting more investor interest.
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Analyst Views on GFS
Wall Street analysts forecast GFS stock price to fall
11 Analyst Rating
2 Buy
7 Hold
2 Sell
Hold
Current: 81.350
Low
35.00
Averages
41.32
High
48.50
Current: 81.350
Low
35.00
Averages
41.32
High
48.50
About GFS
GlobalFoundries Inc. is a semiconductor manufacturer. The Company offers a range of mainstream wafer fabrication services and technologies. It manufactures a range of semiconductor devices, including microprocessors, mobile application processors, baseband processors, network processors, radio frequency modems, microcontrollers, and power management units. Its specialized foundry manufacturing processes include a library consisting of qualified circuit-building block designs (known as IP titles or IP blocks), and advanced transistor and device technology. The Company's differentiated technology platforms include radio frequency (RF) silicon-on-insulator (SOI), Fin Field-Effect Transistor (FinFET), FDX, Complementary Metal-Oxide Semiconductor (CMOS), Silicon Germanium (SiGe), Gallium Nitride (GaN), Bipolar-CMOS-DMOS (BCD), and Silicon Photonics (SiPh).
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
GlobalFoundries Stock Soars on Quantum Technology News
- Significant Stock Surge: GlobalFoundries' stock price surged by 20.6% this week, contrasting with the S&P 500's 0.9% increase, indicating strong performance in the quantum computing sector that is likely to enhance its market position.
- New Quantum Business Unit: On May 21, the company announced the launch of its Quantum Technology Solutions business unit, focusing on manufacturing technologies for the quantum computing industry, marking a strategic move into cutting-edge technology.
- Government Investment Support: GlobalFoundries secured a $375 million letter of intent from the U.S. Department of Commerce, which will be used to bolster its manufacturing capabilities for quantum technology, further solidifying its competitive edge in the quantum computing market.
- Increased Industry Recognition: TD Cowen named GlobalFoundries one of the three biggest winners of the U.S. government's latest quantum investment push, highlighting its potential in the quantum space and likely attracting more investor interest.
See More
Rigetti Computing Stock Surges on Funding News
- Significant Stock Surge: Rigetti Computing's stock rose by 22.8% during Friday's trading, peaking at a 26.4% increase earlier in the day, reflecting strong market optimism towards the quantum computing sector, which may attract more investor interest in the company.
- Funding from CHIPS Act: Rigetti announced a letter of intent with the U.S. Department of Commerce to secure up to $100 million in investment aimed at accelerating the development of quantum technologies, with funds to be disbursed over three years, enhancing the company's technological capabilities and market competitiveness.
- Positive Market Reaction: Against a backdrop of a 0.4% rise in the broader market, Rigetti's stock performance stands out, indicating increased investor confidence in the quantum computing field, which could drive more capital into the industry.
- Optimistic Industry Outlook: TD Cowen analysts noted that Rigetti is one of the top three beneficiaries of the U.S. Department of Commerce's quantum computing investments, underscoring the strategic value of the quantum computing industry and suggesting an increase in growth opportunities that could further elevate the company's valuation.
See More
Trump Administration Plans $2 Billion Grants for Quantum Computing Companies
- Grant Announcement: The Trump Administration revealed a plan to award $2 billion in grants to nine quantum computing companies, notably excluding Quantum Computing, which saw its stock rise before and after the announcement, indicating strong market interest in the quantum computing sector.
- Significant Stock Fluctuation: Quantum Computing's shares surged 44% over three days despite not receiving a grant, suggesting investor optimism about its future potential; however, the lack of funding could hinder its long-term growth prospects.
- Increased Financial Pressure: Without a grant, Quantum Computing faces a cash burn rate exceeding $42 million annually, intensifying financial strain and increasing operational risks over the next two years, as it lacks the necessary funding runway.
- Market Reaction Analysis: Despite not securing funding, Quantum Computing's stock continued to rise, reflecting overall market optimism towards the quantum computing industry; however, the absence of actual financial support may limit its technological development and competitive edge.
See More
U.S. Commerce Department Awards $2 Billion in Grants to Quantum Computing Firms
- Grant Distribution: The U.S. Department of Commerce announced $2 billion in grants to nine quantum computing companies, notably excluding Quantum Computing Inc. (NASDAQ: QUBT), which raises concerns about the company's financial viability and future research capabilities.
- Stock Price Fluctuation: Despite not receiving a grant, Quantum Computing's stock began rising a day before the announcement and continued to climb, gaining 44% over three days, indicating that overall market optimism in the quantum sector may be influencing its stock performance.
- Cash Burn Issues: Quantum Computing is burning over $42 million annually, and without the grant, its financial situation will become increasingly precarious, potentially leading to a cash crunch within two years, which could severely impact its operational sustainability.
- Investor Caution: Analysts have highlighted that Quantum Computing is not included in the current list of the ten best stocks to buy, suggesting that investors should exercise caution, especially given the company's looming financial pressures.
See More
U.S. Commerce Department Awards Infleqtion $100 Million for Quantum Research
- Funding Support: The U.S. Department of Commerce is awarding Infleqtion $100 million to support its research on error correction in neutral-atom-based quantum computers, providing enough runway for nearly four more years of operations, significantly reducing its financial risk.
- Market Reaction: Infleqtion's stock began to rise before the grant announcement, surging 64% in just three days, with an 18.7% increase by 11:30 a.m. ET, reflecting strong investor interest in the quantum computing sector.
- Industry Context: This funding is part of the CHIPS and Science Act, with the Commerce Department aiming to support critical technology research and manufacturing in the quantum ecosystem to ensure U.S. leadership and national security, with Infleqtion focusing on optical systems and error correction.
- Competitive Analysis: Despite receiving government funding, Infleqtion was not included in the Motley Fool Stock Advisor's list of top investment picks, indicating a cautious market sentiment regarding its long-term profitability, prompting investors to carefully assess its investment value.
See More
Trump Administration to Award $2 Billion in Grants to Quantum Computing Firms
- Grant Program Confirmation: The U.S. Commerce Department has confirmed plans to award $2 billion in grants to nine quantum computing companies under the CHIPS and Science Act, with Infleqtion receiving $100 million, significantly enhancing its R&D capabilities and advancing the quantum ecosystem.
- Stock Surge: Infleqtion's stock began rising a day before the announcement, skyrocketing 19.22% post-announcement, and achieving a cumulative increase of 64% in just three days, reflecting strong investor interest in the quantum computing sector.
- Funding Utilization Outlook: Infleqtion will focus on optical systems, readouts, and error correction in neutral-atom quantum computers, with the $100 million grant providing nearly four years of runway, thereby reducing operational risks and enhancing market competitiveness.
- Industry Impact: This grant not only secures funding for Infleqtion but also propels the entire quantum computing industry forward, ensuring U.S. leadership in global tech competition and enhancing national security.
See More
GlobalFoundries Stock Soars on Quantum Technology News
- Significant Stock Surge: GlobalFoundries' stock price surged by 20.6% this week, contrasting with the S&P 500's 0.9% increase, indicating strong performance in the quantum computing sector that is likely to enhance its market position.
- New Quantum Business Unit: On May 21, the company announced the launch of its Quantum Technology Solutions business unit, focusing on manufacturing technologies for the quantum computing industry, marking a strategic move into cutting-edge technology.
- Government Investment Support: GlobalFoundries secured a $375 million letter of intent from the U.S. Department of Commerce, which will be used to bolster its manufacturing capabilities for quantum technology, further solidifying its competitive edge in the quantum computing market.
- Increased Industry Recognition: TD Cowen named GlobalFoundries one of the three biggest winners of the U.S. government's latest quantum investment push, highlighting its potential in the quantum space and likely attracting more investor interest.
See More
Rigetti Computing Stock Surges on Funding News
- Significant Stock Surge: Rigetti Computing's stock rose by 22.8% during Friday's trading, peaking at a 26.4% increase earlier in the day, reflecting strong market optimism towards the quantum computing sector, which may attract more investor interest in the company.
- Funding from CHIPS Act: Rigetti announced a letter of intent with the U.S. Department of Commerce to secure up to $100 million in investment aimed at accelerating the development of quantum technologies, with funds to be disbursed over three years, enhancing the company's technological capabilities and market competitiveness.
- Positive Market Reaction: Against a backdrop of a 0.4% rise in the broader market, Rigetti's stock performance stands out, indicating increased investor confidence in the quantum computing field, which could drive more capital into the industry.
- Optimistic Industry Outlook: TD Cowen analysts noted that Rigetti is one of the top three beneficiaries of the U.S. Department of Commerce's quantum computing investments, underscoring the strategic value of the quantum computing industry and suggesting an increase in growth opportunities that could further elevate the company's valuation.
See More
Trump Administration Plans $2 Billion Grants for Quantum Computing Companies
- Grant Announcement: The Trump Administration revealed a plan to award $2 billion in grants to nine quantum computing companies, notably excluding Quantum Computing, which saw its stock rise before and after the announcement, indicating strong market interest in the quantum computing sector.
- Significant Stock Fluctuation: Quantum Computing's shares surged 44% over three days despite not receiving a grant, suggesting investor optimism about its future potential; however, the lack of funding could hinder its long-term growth prospects.
- Increased Financial Pressure: Without a grant, Quantum Computing faces a cash burn rate exceeding $42 million annually, intensifying financial strain and increasing operational risks over the next two years, as it lacks the necessary funding runway.
- Market Reaction Analysis: Despite not securing funding, Quantum Computing's stock continued to rise, reflecting overall market optimism towards the quantum computing industry; however, the absence of actual financial support may limit its technological development and competitive edge.
See More
U.S. Commerce Department Awards $2 Billion in Grants to Quantum Computing Firms
- Grant Distribution: The U.S. Department of Commerce announced $2 billion in grants to nine quantum computing companies, notably excluding Quantum Computing Inc. (NASDAQ: QUBT), which raises concerns about the company's financial viability and future research capabilities.
- Stock Price Fluctuation: Despite not receiving a grant, Quantum Computing's stock began rising a day before the announcement and continued to climb, gaining 44% over three days, indicating that overall market optimism in the quantum sector may be influencing its stock performance.
- Cash Burn Issues: Quantum Computing is burning over $42 million annually, and without the grant, its financial situation will become increasingly precarious, potentially leading to a cash crunch within two years, which could severely impact its operational sustainability.
- Investor Caution: Analysts have highlighted that Quantum Computing is not included in the current list of the ten best stocks to buy, suggesting that investors should exercise caution, especially given the company's looming financial pressures.
See More
U.S. Commerce Department Awards Infleqtion $100 Million for Quantum Research
- Funding Support: The U.S. Department of Commerce is awarding Infleqtion $100 million to support its research on error correction in neutral-atom-based quantum computers, providing enough runway for nearly four more years of operations, significantly reducing its financial risk.
- Market Reaction: Infleqtion's stock began to rise before the grant announcement, surging 64% in just three days, with an 18.7% increase by 11:30 a.m. ET, reflecting strong investor interest in the quantum computing sector.
- Industry Context: This funding is part of the CHIPS and Science Act, with the Commerce Department aiming to support critical technology research and manufacturing in the quantum ecosystem to ensure U.S. leadership and national security, with Infleqtion focusing on optical systems and error correction.
- Competitive Analysis: Despite receiving government funding, Infleqtion was not included in the Motley Fool Stock Advisor's list of top investment picks, indicating a cautious market sentiment regarding its long-term profitability, prompting investors to carefully assess its investment value.
See More
Trump Administration to Award $2 Billion in Grants to Quantum Computing Firms
- Grant Program Confirmation: The U.S. Commerce Department has confirmed plans to award $2 billion in grants to nine quantum computing companies under the CHIPS and Science Act, with Infleqtion receiving $100 million, significantly enhancing its R&D capabilities and advancing the quantum ecosystem.
- Stock Surge: Infleqtion's stock began rising a day before the announcement, skyrocketing 19.22% post-announcement, and achieving a cumulative increase of 64% in just three days, reflecting strong investor interest in the quantum computing sector.
- Funding Utilization Outlook: Infleqtion will focus on optical systems, readouts, and error correction in neutral-atom quantum computers, with the $100 million grant providing nearly four years of runway, thereby reducing operational risks and enhancing market competitiveness.
- Industry Impact: This grant not only secures funding for Infleqtion but also propels the entire quantum computing industry forward, ensuring U.S. leadership in global tech competition and enhancing national security.
See More
