GlobalFoundries (NASDAQ:GFS) Shares Gap Down - What's Next?

Key Points

• GlobalFoundries shares gapped down from $36.18 to $33.30 before the market opened, currently trading at $33.36 with a volume of 555,027 shares.
• Wall Street analysts have a consensus rating of "Moderate Buy" for GlobalFoundries, with an average price target of $47.92, despite varying ratings from different firms.
• The company reported quarterly earnings of $0.34 per share, beating estimates, with revenue increasing year-over-year by 2.3% to $1.59 billion.

Shares of GlobalFoundries Inc. (NASDAQ:GFS - Get Free Report) gapped down before the market opened on Tuesday . The stock had previously closed at $36.18, but opened at $33.30. GlobalFoundries shares last traded at $33.36, with a volume of 555,027 shares traded.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently issued reports on GFS shares. Citigroup boosted their price target on shares of GlobalFoundries from $35.00 to $42.00 and gave the company a "neutral" rating in a research note on Monday, July 7th. Wall Street Zen lowered GlobalFoundries from a "buy" rating to a "hold" rating in a research report on Saturday. UBS Group decreased their price target on GlobalFoundries from $43.00 to $37.00 and set a "neutral" rating on the stock in a research note on Wednesday. Wedbush dropped their price objective on GlobalFoundries from $48.00 to $40.00 and set an "outperform" rating for the company in a research note on Wednesday. Finally, Argus assumed coverage on GlobalFoundries in a report on Tuesday, July 1st. They issued a "buy" rating and a $52.00 price objective on the stock. Seven investment analysts have rated the stock with a hold rating and six have given a buy rating to the company. According to MarketBeat, the stock currently has an average rating of "Hold" and a consensus price target of $44.92.

GlobalFoundries Stock Up 0.0%

The company has a current ratio of 2.63, a quick ratio of 1.77 and a debt-to-equity ratio of 0.13. The company has a market cap of $17.85 billion, a price-to-earnings ratio of -153.75, a PEG ratio of 1.06 and a beta of 1.50. The firm's fifty day simple moving average is $38.37 and its 200 day simple moving average is $37.95.

GlobalFoundries (NASDAQ:GFS - Get Free Report) last released its quarterly earnings data on Tuesday, August 5th. The company reported $0.42 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.36 by $0.06. GlobalFoundries had a negative net margin of 1.68% and a positive return on equity of 6.55%. The business had revenue of $1.69 billion during the quarter, compared to analysts' expectations of $1.68 billion. During the same period in the previous year, the company earned $0.38 EPS. The company's revenue for the quarter was up 3.4% on a year-over-year basis. Sell-side analysts predict that GlobalFoundries Inc. will post 1.31 earnings per share for the current year.

Institutional Investors Weigh In On GlobalFoundries

Several hedge funds and other institutional investors have recently made changes to their positions in GFS. First Trust Advisors LP raised its holdings in GlobalFoundries by 1.3% during the fourth quarter. First Trust Advisors LP now owns 3,118,293 shares of the company's stock worth $133,806,000 after purchasing an additional 40,527 shares in the last quarter. Invesco Ltd. grew its position in shares of GlobalFoundries by 6.9% in the 1st quarter. Invesco Ltd. now owns 2,491,747 shares of the company's stock valued at $91,970,000 after buying an additional 159,936 shares during the last quarter. ArrowMark Colorado Holdings LLC raised its stake in GlobalFoundries by 5.7% during the 4th quarter. ArrowMark Colorado Holdings LLC now owns 2,473,170 shares of the company's stock worth $106,124,000 after acquiring an additional 132,634 shares in the last quarter. Pacer Advisors Inc. lifted its position 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 acquiring an additional 2,444,018 shares during the last quarter. Finally, Analog Century Management LP acquired a new position in GlobalFoundries in the fourth quarter valued at $50,298,000.

GlobalFoundries Company Profile

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.