GlobalFoundries (NASDAQ:GFS) Stock Rating Upgraded by Arete Research

Key Points

• Arete Research upgraded GlobalFoundries from neutral to buy, adding to a wave of generally positive analyst moves on the stock. Other firms recently raised ratings or price targets, though the overall consensus remains Hold with an average target price of $73.29.
• GlobalFoundries reported solid quarterly results, posting $0.40 EPS versus the $0.35 estimate and revenue of $1.63 billion, in line with expectations. The company also guided Q2 2026 EPS to $0.25-$0.35.
• The stock has been volatile and richly valued, opening at $75.26 after a 2.7% drop, with shares trading well above both their 50-day and 200-day moving averages. Insiders have also sold shares recently, including a total of 20,505 shares over the last 90 days.

GlobalFoundries (NASDAQ:GFS - Get Free Report) was upgraded by equities researchers at Arete Research from a "neutral" rating to a "buy" rating in a research report issued to clients and investors on Wednesday, Marketbeat.com reports.

Several other research firms also recently weighed in on GFS. Cantor Fitzgerald upgraded shares of GlobalFoundries from a "neutral" rating to an "overweight" rating and lifted their target price for the company from $50.00 to $80.00 in a report on Monday, May 4th. Dbs Bank downgraded shares of GlobalFoundries from a "moderate buy" rating to a "hold" rating in a report on Friday, February 13th. TD Cowen reaffirmed a "buy" rating on shares of GlobalFoundries in a research note on Thursday, February 12th. Morgan Stanley raised their price target on shares of GlobalFoundries from $58.00 to $65.00 and gave the company an "equal weight" rating in a research report on Wednesday, May 6th. Finally, Needham & Company LLC raised their price target on shares of GlobalFoundries from $55.00 to $80.00 and gave the company a "buy" rating in a research report on Tuesday, May 5th. Nine analysts have rated the stock with a Buy rating, ten have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of "Hold" and a consensus target price of $73.29.

GlobalFoundries Trading Down 2.7%

NASDAQ GFS opened at $75.26 on Wednesday. The firm's 50-day moving average is $65.23 and its two-hundred day moving average is $49.92. The stock has a market capitalization of $41.88 billion, a P/E ratio of 54.14, a PEG ratio of 2.73 and a beta of 1.77. GlobalFoundries has a 12 month low of $31.51 and a 12 month high of $92.55. The company has a debt-to-equity ratio of 0.13, a current ratio of 2.59 and a quick ratio of 1.87.

GlobalFoundries (NASDAQ:GFS - Get Free Report) last posted its earnings results on Tuesday, May 5th. The company reported $0.40 earnings per share for the quarter, beating the consensus estimate of $0.35 by $0.05. GlobalFoundries had a net margin of 11.40% and a return on equity of 6.85%. The firm had revenue of $1.63 billion during the quarter, compared to the consensus estimate of $1.63 billion. During the same quarter last year, the firm earned $0.34 EPS. The firm's revenue for the quarter was up 3.1% on a year-over-year basis. GlobalFoundries has set its Q2 2026 guidance at 0.250-0.350 EPS. On average, sell-side analysts anticipate that GlobalFoundries will post 1.38 earnings per share for the current year.

Insiders Place Their Bets

In other news, insider Samak L. Azar sold 335 shares of the firm's stock in a transaction on Thursday, June 4th. The shares were sold at an average price of $82.00, for a total value of $27,470.00. Following the sale, the insider directly owned 14,489 shares in the company, valued at approximately $1,188,098. This trade represents a 2.26% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Michael James Hogan sold 2,800 shares of the firm's stock in a transaction on Wednesday, May 27th. The shares were sold at an average price of $82.88, for a total transaction of $232,064.00. Following the completion of the sale, the insider owned 9,645 shares in the company, valued at $799,377.60. The trade was a 22.50% 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. Insiders sold a total of 20,505 shares of company stock worth $1,222,334 over the last 90 days.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of the stock. WealthCollab LLC raised its stake in GlobalFoundries by 674.7% during the 4th quarter. WealthCollab LLC now owns 705 shares of the company's stock worth $25,000 after acquiring an additional 614 shares in the last quarter. True Wealth Design LLC raised its stake in GlobalFoundries by 216.7% during the 4th quarter. True Wealth Design LLC now owns 795 shares of the company's stock worth $28,000 after acquiring an additional 544 shares in the last quarter. Clearstead Advisors LLC raised its stake in GlobalFoundries by 91.9% during the 3rd quarter. Clearstead Advisors LLC now owns 808 shares of the company's stock worth $29,000 after acquiring an additional 387 shares in the last quarter. Covestor Ltd raised its stake in GlobalFoundries by 57.6% during the 4th quarter. Covestor Ltd now owns 955 shares of the company's stock worth $33,000 after acquiring an additional 349 shares in the last quarter. Finally, Atlas Capital Advisors Inc. acquired a new stake in GlobalFoundries during the 4th quarter worth $35,000.

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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