TD Cowen Cuts GlobalFoundries (NASDAQ:GFS) Price Target to $75.00

Key Points

• TD Cowen lowered GlobalFoundries’ price target from $85 to $75 but maintained a “Buy” rating, implying about 49% upside from the stock’s previous close. Analysts overall assign the stock a “Hold” consensus rating with a $75.12 target.
• GlobalFoundries beat second-quarter expectations, reporting $0.46 in EPS and $1.79 billion in revenue, up 5.8% year over year. Management issued third-quarter EPS guidance of $0.46–$0.56 and raised its 2026 data-center outlook on stronger AI, optical and silicon-photonics demand.
• The shares traded at $50.33 and remained below their 50-day moving average, reflecting technical pressure despite the positive operating outlook. Insiders sold nearly $1.38 million of stock over the past three months, while several institutional investors increased their holdings.

GlobalFoundries (NASDAQ:GFS - Get Free Report) had its price target dropped by equities researchers at TD Cowen from $85.00 to $75.00 in a research note issued on Thursday,Benzinga reports. The brokerage currently has a "buy" rating on the stock. TD Cowen's price objective would indicate a potential upside of 49.02% from the stock's previous close.

Several other brokerages also recently weighed in on GFS. The Goldman Sachs Group reiterated a "neutral" rating and issued a $70.00 price objective on shares of GlobalFoundries in a research report on Tuesday, May 5th. Jefferies Financial Group set a $60.00 target price on shares of GlobalFoundries in a research report on Wednesday. Susquehanna raised their price target on shares of GlobalFoundries to $125.00 and gave the company a "positive" rating in a research note on Monday, May 11th. UBS Group decreased their price objective on GlobalFoundries from $61.00 to $55.00 and set a "neutral" rating for the company in a report on Thursday. Finally, Zacks Research cut GlobalFoundries from a "strong-buy" rating to a "hold" rating in a research report on Tuesday. Eight equities research analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of "Hold" and a consensus target price of $75.12.

GlobalFoundries Stock Performance

GFS traded up $0.87 on Thursday, hitting $50.33. 3,861,791 shares of the company's stock were exchanged, compared to its average volume of 4,326,185. The firm has a market cap of $27.62 billion, a PE ratio of 36.22, a P/E/G ratio of 1.84 and a beta of 1.80. GlobalFoundries has a twelve month low of $31.51 and a twelve month high of $92.55. The stock has a fifty day moving average of $70.24 and a two-hundred day moving average of $58.78. The company has a current ratio of 2.59, a quick ratio of 1.87 and a debt-to-equity ratio of 0.13.

GlobalFoundries (NASDAQ:GFS - Get Free Report) last issued its earnings results on Wednesday, August 5th. The company reported $0.46 EPS for the quarter, beating analysts' consensus estimates of $0.43 by $0.03. GlobalFoundries had a return on equity of 6.85% and a net margin of 11.40%.The company had revenue of $1.79 billion during the quarter, compared to the consensus estimate of $1.77 billion. During the same period in the previous year, the firm posted $0.42 earnings per share. GlobalFoundries's quarterly revenue was up 5.8% compared to the same quarter last year. GlobalFoundries has set its Q3 2026 guidance at 0.460-0.560 EPS. On average, research analysts anticipate that GlobalFoundries will post 1.38 earnings per share for the current fiscal year.

Insider Activity

In related news, insider Michael James Hogan sold 2,800 shares of the business's stock in a transaction that occurred on Wednesday, May 27th. The stock was sold at an average price of $82.88, for a total transaction of $232,064.00. Following the sale, the insider owned 9,645 shares of the company's stock, valued at $799,377.60. The trade was a 22.50% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at 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 that occurred on Thursday, May 14th. The stock was sold at an average price of $74.82, for a total value of $37,410.00. Following the completion of the sale, the insider owned 15,494 shares of the company's stock, valued at $1,159,261.08. This trade represents a 3.13% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 18,950 shares of company stock worth $1,375,905 over the last three months.

Institutional Trading of GlobalFoundries

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Bessemer Group Inc. boosted its position in shares of GlobalFoundries by 8,275,141.2% during the 1st quarter. Bessemer Group Inc. now owns 2,813,582 shares of the company's stock valued at $125,147,000 after purchasing an additional 2,813,548 shares in the last quarter. HRT Financial LP bought a new stake in shares of GlobalFoundries in the 4th quarter worth approximately $62,996,000. AQR Capital Management LLC raised its holdings in shares of GlobalFoundries by 168.2% in the 3rd quarter. AQR Capital Management LLC now owns 2,607,792 shares of the company's stock worth $93,463,000 after purchasing an additional 1,635,338 shares in the last quarter. Marshall Wace LLP lifted its stake in GlobalFoundries by 126.0% during the fourth quarter. Marshall Wace LLP now owns 2,382,003 shares of the company's stock valued at $83,180,000 after purchasing an additional 1,328,129 shares during the last quarter. Finally, UBS Group AG lifted its stake in GlobalFoundries by 136.7% during the fourth quarter. UBS Group AG now owns 1,809,232 shares of the company's stock valued at $63,178,000 after purchasing an additional 1,044,755 shares during the last quarter.

GlobalFoundries News Roundup

Here are the key news stories impacting GlobalFoundries this week:

• Positive Sentiment: AI and data-center outlook improved. Management raised its 2026 data-center outlook, citing surging demand for optical products and continued growth in silicon photonics. Executives said the AI data-center opportunity remains in its “early innings,” while new intellectual property could expand GlobalFoundries’ addressable AI market. GlobalFoundries Q2 Earnings Call Highlights AI Data Center Momentum
• Positive Sentiment: GlobalFoundries exceeded second-quarter expectations. The chip foundry reported adjusted earnings of $0.46 per share versus roughly $0.43-$0.44 expected, while revenue of $1.79 billion topped the $1.77 billion consensus and increased 5.8% year over year. GlobalFoundries tops second quarter estimates on AI chip demand
• Positive Sentiment: Third-quarter guidance supports growth expectations. EPS guidance of $0.46-$0.56 has a midpoint above the current analyst consensus, while revenue guidance near $1.9 billion is broadly in line. Management also indicated that a richer product mix is supporting margins.
• Positive Sentiment: Dividend reinforces shareholder returns. GlobalFoundries declared a quarterly dividend of $0.12 per share, payable October 9 to shareholders of record September 23, representing an annualized yield of approximately 1%.
• Neutral Sentiment: The earnings reaction reflects elevated expectations. Despite the quarterly beat, investors initially appeared to question whether the results were strong enough to justify the stock’s prior AI and photonics optimism. The shares remain below their 50-day and 200-day moving averages, indicating continued technical pressure.
• Negative Sentiment: Zacks Research downgraded GFS from “Strong Buy” to “Hold.” The rating change may limit near-term enthusiasm even though the company’s operating outlook remains constructive. Recent insider activity was also heavily weighted toward selling, though such transactions may not reflect current business fundamentals. Zacks.com

About GlobalFoundries

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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