GlobalFoundries (NASDAQ:GFS) Given New $40.00 Price Target at Wedbush

Key Points

• Wedbush analysts have lowered GlobalFoundries' price target from $48.00 to $40.00, indicating a potential upside of 20.37% from its current price.
• GlobalFoundries recently reported $0.42 earnings per share, surpassing expectations and reflecting a 3.4% revenue increase compared to the same quarter last year.
• Institutional investors have significantly increased their stakes in GlobalFoundries, with Pacer Advisors Inc. raising its stake by a remarkable 8,540.7% in the first quarter.

GlobalFoundries (NASDAQ:GFS - Get Free Report) had its price objective lowered by stock analysts at Wedbush from $48.00 to $40.00 in a note issued to investors on Wednesday,Benzinga reports. The firm currently has an "outperform" rating on the stock. Wedbush's price objective would indicate a potential upside of 20.37% from the stock's current price.

Several other analysts also recently weighed in on the company. Wall Street Zen upgraded GlobalFoundries from a "hold" rating to a "buy" rating in a report on Saturday, July 5th. Cantor Fitzgerald restated a "neutral" rating on shares of GlobalFoundries in a report on Monday, May 5th. Argus initiated coverage on GlobalFoundries in a research report on Tuesday, July 1st. They issued a "buy" rating and a $52.00 target price on the stock. Morgan Stanley lowered their price objective on GlobalFoundries from $38.00 to $35.00 and set an "equal weight" rating on the stock in a research report on Wednesday. Finally, Citigroup upped their target price on GlobalFoundries from $35.00 to $42.00 and gave the stock a "neutral" rating in a research note on Monday, July 7th. Six analysts have rated the stock with a hold rating and eight have given a buy rating to the company. According to MarketBeat, GlobalFoundries has an average rating of "Moderate Buy" and an average price target of $45.69.

GlobalFoundries Price Performance

Shares of GFS stock traded up $0.43 on Wednesday, reaching $33.23. The company's stock had a trading volume of 1,962,259 shares, compared to its average volume of 2,028,976. The stock's fifty day simple moving average is $38.60 and its 200-day simple moving average is $38.16. GlobalFoundries has a 1 year low of $29.77 and a 1 year high of $47.69. The company has a current ratio of 2.51, a quick ratio of 1.77 and a debt-to-equity ratio of 0.13. The company has a market capitalization of $18.37 billion, a price-to-earnings ratio of -97.72, a price-to-earnings-growth ratio of 1.13 and a beta of 1.50.

GlobalFoundries (NASDAQ:GFS - Get Free Report) last posted its earnings results on Tuesday, August 5th. The company reported $0.42 earnings per share for the quarter, beating analysts' consensus estimates of $0.36 by $0.06. The firm had revenue of $1.69 billion during the quarter, compared to analyst estimates of $1.68 billion. GlobalFoundries had a negative net margin of 2.77% and a positive return on equity of 6.28%. GlobalFoundries's revenue for the quarter was up 3.4% compared to the same quarter last year. During the same period last year, the firm posted $0.38 earnings per share. Analysts forecast that GlobalFoundries will post 1.31 earnings per share for the current fiscal year.

Institutional Trading of GlobalFoundries

Institutional investors and hedge funds have recently made changes to their positions in the stock. Pacer Advisors Inc. increased its stake in GlobalFoundries by 8,540.7% in the first quarter. Pacer Advisors Inc. now owns 2,472,634 shares of the company's stock valued at $91,265,000 after purchasing an additional 2,444,018 shares during the last quarter. Analog Century Management LP acquired a new stake in GlobalFoundries during the fourth quarter worth about $50,298,000. Alyeska Investment Group L.P. acquired a new stake in GlobalFoundries during the first quarter worth about $40,493,000. Woodline Partners LP acquired a new stake in GlobalFoundries during the first quarter worth about $33,504,000. Finally, BNP Paribas Financial Markets acquired a new stake in GlobalFoundries during the fourth quarter worth about $22,912,000.

About GlobalFoundries

GlobalFoundries Inc, a semiconductor foundry, provides range of mainstream wafer fabrication services and technologies worldwide. It manufactures various semiconductor devices, including microprocessors, mobile application processors, baseband processors, network processors, radio frequency modems, microcontrollers, and power management units.

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