GlobalFoundries Inc. (NASDAQ:GFS) Receives Consensus Recommendation of "Hold" from Brokerages

Key Points

• GlobalFoundries has a consensus analyst rating of "Hold", based on coverage from 20 analysts, with an average 1-year price target of about $69.88.
• The company beat quarterly earnings expectations, reporting $0.40 EPS versus the $0.35 estimate, while revenue came in line at $1.63 billion and rose 3.1% year over year.
• GlobalFoundries also announced a quarterly dividend of $0.12 per share, payable July 14, representing an annualized dividend of $0.48 and a yield of roughly 0.6%.

GlobalFoundries Inc. (NASDAQ:GFS - Get Free Report) has received an average rating of "Hold" from the twenty analysts that are currently covering the firm, Marketbeat reports. One investment analyst has rated the stock with a sell recommendation, eleven have given a hold recommendation and eight have assigned a buy recommendation to the company. The average 1-year price target among brokers that have updated their coverage on the stock in the last year is $69.8824.

A number of research analysts have recently commented on the stock. TD Cowen restated a "buy" rating on shares of GlobalFoundries in a report on Thursday, February 12th. Cantor Fitzgerald upgraded shares of GlobalFoundries from a "neutral" rating to an "overweight" rating and upped their price target for the stock from $50.00 to $80.00 in a report on Monday, May 4th. Zacks Research upgraded shares of GlobalFoundries from a "strong sell" rating to a "hold" rating in a report on Friday, January 30th. Dbs Bank cut shares of GlobalFoundries from a "moderate buy" rating to a "hold" rating in a report on Friday, February 13th. Finally, Susquehanna upped their price target on shares of GlobalFoundries to $125.00 and gave the stock a "positive" rating in a report on Monday, May 11th.

Insider Transactions at GlobalFoundries

In related news, insider Michael James Hogan sold 2,800 shares of the company's stock in a transaction dated Wednesday, May 27th. The shares were sold at an average price of $82.88, for a total value of $232,064.00. Following the completion of the sale, the insider directly owned 9,645 shares of the company's stock, valued at $799,377.60. This represents a 22.50% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Samak L. Azar sold 500 shares of the company's stock in a transaction dated Thursday, April 23rd. The stock was sold at an average price of $59.66, for a total transaction of $29,830.00. Following the completion of the sale, the insider directly owned 16,994 shares of the company's stock, valued at approximately $1,013,862.04. This trade represents a 2.86% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 19,835 shares of company stock worth $1,167,763.

Institutional Trading of GlobalFoundries

A number of hedge funds have recently added to or reduced their stakes in GFS. WealthCollab LLC lifted its stake in GlobalFoundries by 674.7% in the fourth quarter. WealthCollab LLC now owns 705 shares of the company's stock worth $25,000 after acquiring an additional 614 shares during the period. True Wealth Design LLC lifted its stake in GlobalFoundries by 216.7% in the fourth quarter. True Wealth Design LLC now owns 795 shares of the company's stock worth $28,000 after acquiring an additional 544 shares during the period. Clearstead Advisors LLC lifted its stake in GlobalFoundries by 91.9% in the third quarter. Clearstead Advisors LLC now owns 808 shares of the company's stock worth $29,000 after acquiring an additional 387 shares during the period. Covestor Ltd lifted its stake in GlobalFoundries by 57.6% in the fourth quarter. Covestor Ltd now owns 955 shares of the company's stock worth $33,000 after acquiring an additional 349 shares during the period. Finally, Atlas Capital Advisors Inc. purchased a new stake in GlobalFoundries in the fourth quarter worth about $35,000.

GlobalFoundries Trading Down 0.8%

GFS stock opened at $79.97 on Friday. The company has a quick ratio of 1.87, a current ratio of 2.59 and a debt-to-equity ratio of 0.13. GlobalFoundries has a twelve month low of $31.51 and a twelve month high of $92.55. The stock has a market capitalization of $44.50 billion, a price-to-earnings ratio of 57.53, a price-to-earnings-growth ratio of 2.85 and a beta of 1.71. The firm's fifty day simple moving average is $60.18 and its two-hundred day simple moving average is $47.51.

GlobalFoundries (NASDAQ:GFS - Get Free Report) last posted its quarterly earnings data on Tuesday, May 5th. The company reported $0.40 earnings per share for the quarter, beating analysts' consensus estimates of $0.35 by $0.05. The business had revenue of $1.63 billion for the quarter, compared to analysts' expectations of $1.63 billion. GlobalFoundries had a net margin of 11.40% and a return on equity of 6.85%. The business's revenue was up 3.1% compared to the same quarter last year. During the same quarter in the previous year, the business posted $0.34 earnings per share. GlobalFoundries has set its Q2 2026 guidance at 0.250-0.350 EPS. As a group, analysts anticipate that GlobalFoundries will post 1.38 earnings per share for the current year.

GlobalFoundries Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, July 14th. Stockholders of record on Wednesday, June 24th will be issued a $0.12 dividend. The ex-dividend date is Wednesday, June 24th. This represents a $0.48 dividend on an annualized basis and a dividend yield of 0.6%.

GlobalFoundries Company Profile

GlobalFoundries, Inc NASDAQ: GFS is a leading contract semiconductor manufacturer that provides wafer fabrication and related services to semiconductor companies and systems manufacturers. The company operates as a pure-play foundry, producing integrated circuits across a range of process technologies for customers in markets such as automotive, communications, consumer electronics, industrial, and aerospace. Its service offering spans process development, manufacturing, test and packaging support, and design enablement including process design kits (PDKs) and intellectual property (IP) libraries to help customers bring designs to production.

GlobalFoundries focuses on a portfolio of differentiated and specialty process nodes, offering technologies for radio-frequency (RF) and wireless, analog and mixed-signal, power management, embedded non-volatile memory, and silicon-on-insulator (SOI) process families.

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