Key Takeaways
- GFS stock experienced an approximately 12% surge when trading commenced on May 21, 2026, driven by the unveiling of its quantum computing business unit.
- A letter of intent from the U.S. Department of Commerce outlined a $375 million funding commitment, accompanied by an equity position of approximately 1% in GlobalFoundries.
- This allocation represents a segment of a comprehensive $2 billion federal quantum initiative distributed among nine corporations, with IBM securing the primary allocation of $1 billion.
- Wall Street analysts responded positively: Evercore ISI elevated its price objective to $85 with an Outperform rating, while Susquehanna increased its target from $100 to $125 with a Positive outlook.
- Competing quantum firms experienced more dramatic single-session gains — D-Wave surged 27%, Rigetti climbed 28%, and Infleqtion rocketed 42%.
Shares of GlobalFoundries (GFS) were changing hands at approximately $78.88 during pre-market hours on May 21, 2026, reflecting an 11.4% increase, with gains expanding to roughly 12% following the market’s opening.
The driving force behind this movement: GlobalFoundries introduced Quantum Technology Solutions, a dedicated business segment, while simultaneously securing a commitment letter for $375 million in federal support via the CHIPS and Science Act.
This financial commitment forms one component of a larger $2 billion government initiative targeting nine quantum computing enterprises. IBM emerges as the principal recipient, positioned to collect $1 billion — funds the technology giant intends to combine with its own capital to establish a specialized quantum chip manufacturing facility on American soil.
The $375 million designated for GlobalFoundries will support the expansion of its quantum computing hardware production capabilities. Additionally, the federal government will acquire an equity stake of roughly 1% in the semiconductor manufacturer through a separate arrangement.
This approach aligns with an emerging trend from the present administration. Beginning in early 2025, federal authorities have established ownership positions in multiple strategic technology companies, including a 10% stake in Intel.
Wall Street Responds With Target Increases
The quantum computing news arrived amid already favorable sentiment. Evercore ISI adjusted its GFS price objective upward to $85 while retaining an Outperform designation, citing accelerating demand from data center operators. Susquehanna took a more aggressive stance, boosting its target to $125 from the previous $100, maintaining a Positive recommendation.
The stock penetrated its previous 52-week peak of $76.98 during pre-market activity.
GlobalFoundries had already delivered strong first-quarter results, posting revenue of $1.634 billion. The semiconductor foundry also recently announced its inaugural quarterly dividend payment of $0.12 per share and established a capital return program targeting up to 50% of adjusted free cash flow for shareholder distributions.
The Communications Infrastructure and Data Center division proved particularly robust, generating $230 million in quarterly revenue — representing 32% year-over-year expansion — achieving its sixth consecutive quarter of double-digit percentage growth.
Quantum Specialists Post Steeper Gains
While GlobalFoundries advanced approximately 12%, smaller quantum computing specialists included in the funding program registered substantially larger price movements.
D-Wave Quantum advanced 27%. Rigetti Computing posted a 28% gain. Infleqtion soared 42%.
IBM, despite receiving the most substantial individual grant, saw its shares appreciate just over 4.6% following the opening bell.
The agreements remain preliminary, and the Commerce Department had not released an official statement as of Thursday morning. D-Wave disclosed to the Wall Street Journal that its complete $100 million allocation would take the form of an equity investment, with both Rigetti and Infleqtion outlining comparable structures.
Broader market momentum provided additional support, with the S&P 500 advancing 1.1%, the Dow Jones Industrial Average rising 1.3%, and the Nasdaq Composite climbing 1.5% during the session.
