GlobalFoundries (NASDAQ:GFS) Given "Neutral" Rating at Wedbush

GlobalFoundries (NASDAQ:GFS - Get Free Report)'s stock had its "neutral" rating restated by equities research analysts at Wedbush in a note issued to investors on Thursday, Benzinga reports. They presently have a $72.00 price target on the stock. Wedbush's target price suggests a potential upside of 56.74% from the company's previous close.

GFS has been the subject of several other reports. Deutsche Bank Aktiengesellschaft set a $75.00 target price on shares of GlobalFoundries in a research report on Monday, August 10th. Stifel Nicolaus started coverage on shares of GlobalFoundries in a research report on Tuesday, September 1st. They issued a "buy" rating and a $60.00 target price for the company. TD Cowen decreased their target price on shares of GlobalFoundries from $85.00 to $75.00 and set a "buy" rating for the company in a research report on Thursday, August 6th. Cantor Fitzgerald reissued an "overweight" rating on shares of GlobalFoundries in a research report on Thursday. Finally, Morgan Stanley reissued a "negative" rating and issued a $60.00 target price on shares of GlobalFoundries in a research report on Thursday, August 6th. Eight research analysts have rated the stock with a Buy rating, ten have issued a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of "Hold" and a consensus price target of $75.79.

GlobalFoundries Stock Down 6.1%

GFS traded down $3.00 on Thursday, reaching $45.94. 1,497,044 shares of the company traded hands, compared to its average volume of 4,321,552. The stock's 50 day moving average price is $47.69 and its 200-day moving average price is $59.70. GlobalFoundries has a 52-week low of $32.02 and a 52-week high of $92.55. The company has a market cap of $25.21 billion, a price-to-earnings ratio of 35.89, a PEG ratio of 1.48 and a beta of 1.77. The company has a debt-to-equity ratio of 0.13, a current ratio of 2.48 and a quick ratio of 1.74.

GlobalFoundries (NASDAQ:GFS - Get Free Report) last posted its earnings results on Wednesday, August 5th. The company reported $0.46 EPS for the quarter, topping the consensus estimate of $0.43 by $0.03. The company had revenue of $1.79 billion during the quarter, compared to the consensus estimate of $1.77 billion. GlobalFoundries had a net margin of 10.36% and a return on equity of 6.69%. The company's revenue for the quarter was up 5.8% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.42 earnings per share. GlobalFoundries has set its Q3 2026 guidance at 0.460-0.560 EPS. On average, sell-side analysts expect that GlobalFoundries will post 1.48 EPS for the current fiscal year.

Insider Buying and Selling at GlobalFoundries

In related news, Director Glenda Dorchak sold 4,000 shares of the company's stock in a transaction on Monday, July 20th. The shares were sold at an average price of $58.22, for a total transaction of $232,880.00. Following the completion of the transaction, the director directly owned 14,867 shares in the company, valued at $865,556.74. This represents a 21.20% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Pradheepa Raman sold 6,760 shares of the company's stock in a transaction on Tuesday, August 18th. The shares were sold at an average price of $51.12, for a total transaction of $345,571.20. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 16,590 shares of company stock valued at $859,087.

Hedge Funds Weigh In On GlobalFoundries

Several large investors have recently bought and sold shares of the stock. PNC Financial Services Group Inc. raised its stake in GlobalFoundries by 8.6% during the 1st quarter. PNC Financial Services Group Inc. now owns 1,954 shares of the company's stock valued at $87,000 after purchasing an additional 154 shares during the last quarter. Parallel Advisors LLC raised its stake in GlobalFoundries by 39.8% during the 1st quarter. Parallel Advisors LLC now owns 832 shares of the company's stock valued at $37,000 after purchasing an additional 237 shares during the last quarter. California State Teachers Retirement System raised its stake in GlobalFoundries by 5.3% during the 1st quarter. California State Teachers Retirement System now owns 6,735 shares of the company's stock valued at $300,000 after purchasing an additional 340 shares during the last quarter. HB Wealth Management LLC raised its stake in GlobalFoundries by 7.0% during the 2nd quarter. HB Wealth Management LLC now owns 5,472 shares of the company's stock valued at $451,000 after purchasing an additional 358 shares during the last quarter. Finally, Krilogy Financial LLC raised its stake in GlobalFoundries by 7.9% during the 3rd quarter. Krilogy Financial LLC now owns 5,997 shares of the company's stock valued at $290,000 after purchasing an additional 441 shares during the last quarter.

Key Stories Impacting GlobalFoundries

Here are the key news stories impacting GlobalFoundries this week:

• Positive Sentiment: Japan is expected to provide substantial infrastructure funding—roughly $10 billion initially, with a potential second phase of similar size—allowing GlobalFoundries to expand without funding the full construction cost through debt or internal cash flow. The arrangement is viewed as favorable for the company’s balance sheet, which currently has a debt-to-equity ratio of about 0.13. GlobalFoundries to Build Two Chip Fabs With Up to $21 Billion Funding
• Positive Sentiment: The two facilities could add up to 1.8 million 300mm wafers of annual capacity, or approximately 900,000 wafers per fab. The expansion is supported by expected demand from customers including Apple, General Motors, Cirrus Logic and Renesas, reducing the risk of building unused capacity. GlobalFoundries selected to operate two new semiconductor fabs
• Positive Sentiment: The announcement strengthens GlobalFoundries’ strategic position in domestic and allied semiconductor supply chains. Separately, about $955 million in amended CHIPS Act funding will support silicon photonics, silicon-germanium and advanced-packaging projects. GlobalFoundries Stock Rises on Semiconductor Manufacturing Initiative
• Neutral Sentiment: Construction is expected to begin in late 2026, but meaningful revenue from the new fabs is not anticipated until around 2029. Investors will therefore need to wait several years for the capacity expansion to affect earnings.
• Negative Sentiment: The U.S. government is expected to receive approximately a 4% equity stake, creating modest dilution for existing shareholders. The projects also face normal execution risks, including construction delays, equipment shortages and changes in semiconductor demand.

About GlobalFoundries

GlobalFoundries Inc is a semiconductor contract manufacturer that produces chips for customers without owning their own fabrication facilities. The company operates as a pure-play foundry, manufacturing semiconductors based on customers' designs and supporting them through process development, wafer fabrication, packaging, and related services.

Its technology portfolio focuses on specialized semiconductor platforms rather than the most advanced leading-edge logic nodes. Products and services include radio-frequency technologies, analog and mixed-signal solutions, power management, embedded memory, silicon photonics, and automotive and industrial semiconductor platforms.