GLOBALFOUNDRIES Inc. (GFS) experienced a significant after-hours plunge of 5.26% on Tuesday, reversing gains from the regular trading session. The semiconductor company's stock had risen 5.16% during regular trading hours, continuing its recovery from previous declines.
The after-hours drop appears to be driven by insider selling activity and potential profit-taking. GlobalFoundries Chief Legal Officer Samak L. Azar sold 335 ordinary shares on May 21 at $77.99 per share, according to regulatory filings. Following the transaction, Azar held 15,159 ordinary shares in the company.
Investors may also be taking profits after the stock's strong performance during regular trading, which was supported by positive developments including a $375 million grant from the U.S. Department of Commerce for quantum technology solutions and the company's launch of its SCALE optical module solution for AI data centers.