GlobalFoundries initiated with an Overweight at Cantor Fitzgerald

Cantor Fitzgerald initiated coverage of GlobalFoundries (GFS) with an Overweight rating and $70 price target as the firm initiated coverage on 18 names in the Semiconductor & Semiconductor Equipment industries. Cantor thinks the importance of near leading-edge semiconductor manufacturing is an important strategic asset for the U.S., which should benefit GlobalFoundries from both monies from the CHIPS ACT, as well as securing design wins from global players looking to reduce their reliance on TSMC (TSM), the analyst tells investors in a research note. The firm views risk/reward positively, particularly from a “strategic asset” perspective.