What happened
Shares of SkyWater Technology (SKYT +0.48%), a semiconductor manufacturing company, were skyrocketing today after the company reported top- and bottom-line second-quarter results that outpaced analysts' average estimates.
The semiconductor stock was up by 32.2% as of 2:08 p.m. ET.
So what
SkyWater reported a non-GAAP (adjusted) loss per share of $0.32 in the second quarter, which was worse than the company's loss of $0.20 in the year-ago quarter but still ahead of Wall Street's consensus estimate of a loss of $0.34 per share.
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The company's second-quarter revenue of $47.4 million was up 15% year over year and beat analysts' average estimate of $44.5 million for the quarter.
Investors were clearly happy with the company's better-than-expected results and were also likely impressed with some of its highlights from the quarter.
SkyWater said it started a new partnership with the state of Indiana and Purdue University to build an advanced $1.8 billion semiconductor factory on Purdue's campus.
Additionally, the company said it had received a $15 million investment from the U.S. Department of Defense to fund an open source semiconductor design partnership the company has with Alphabet's Google.
NASDAQ: SKYT
Key Data Points
Now what
In addition to the strong results for the quarter, investors may have latched onto a recent positive note from Piper Sandler analyst Harsh Kumar, who raised his price target for SkyWater's stock from $10 to $18 and kept an overweight rating on the stock following the company's release of its second-quarter results.
Kumar said the company's latest results were "solid" and thinks that SkyWater could benefit from the recent passage of the CHIPS and Science Act, which includes $52 billion in funding and tax credits for companies to produce semiconductors in the U.S.
SkyWater didn't provide any forward guidance for the upcoming quarter.
