GlobalFoundries (NASDAQ:GFS) Stock Gets Price Target Trim from UBS Group

GlobalFoundries (NASDAQ:GFS) had its price objective lowered by UBS Group from $48.00 to $43.00 in a research note published on Thursday morning,Benzinga reports. UBS Group currently has a neutral rating on the stock.

Other equities research analysts have also recently issued reports about the company. TD Cowen lowered their target price on GlobalFoundries from $75.00 to $60.00 and set a “buy” rating for the company in a report on Thursday. Citigroup lowered their price target on shares of GlobalFoundries from $58.00 to $46.00 and set a “neutral” rating on the stock in a report on Thursday. Jefferies Financial Group cut their price objective on shares of GlobalFoundries from $60.00 to $50.00 and set a “hold” rating on the stock in a research report on Wednesday. Deutsche Bank Aktiengesellschaft set a $75.00 price objective on shares of GlobalFoundries in a research note on Monday, August 10th. Finally, Zacks Research cut shares of GlobalFoundries from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, August 4th. Eight analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, GlobalFoundries presently has a consensus rating of “Hold” and an average target price of $67.79.

GlobalFoundries Stock Up 6.2%

GFS opened at $38.62 on Thursday. The firm has a 50-day simple moving average of $45.84 and a two-hundred day simple moving average of $54.88. GlobalFoundries has a 52 week low of $32.02 and a 52 week high of $92.55. The company has a market capitalization of $21.19 billion, a PE ratio of 110.34, a price-to-earnings-growth ratio of 1.27 and a beta of 1.78. The company has a quick ratio of 1.74, a current ratio of 2.58 and a debt-to-equity ratio of 0.13.

GlobalFoundries (NASDAQ:GFS) last announced its earnings results on Wednesday, November 4th. The company reported $0.53 EPS for the quarter, topping analysts’ consensus estimates of $0.51 by $0.02. The firm had revenue of $1.90 billion during the quarter, compared to analysts’ expectations of $1.89 billion. GlobalFoundries had a return on equity of 7.16% and a net margin of 2.81%. The company’s quarterly revenue was up 12.5% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.44 EPS. Analysts forecast that GlobalFoundries will post 1.50 earnings per share for the current fiscal year.

GlobalFoundries Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, January 14th. Shareholders of record on Tuesday, December 22nd will be given a dividend of $0.12 per share. The ex-dividend date is Tuesday, December 22nd. This represents a $0.48 dividend on an annualized basis and a yield of 1.2%. GlobalFoundries’s dividend payout ratio is currently 137.14%.

Insider Buying and Selling

In other GlobalFoundries news, insider Pradheepa Raman sold 2,145 shares of the stock in a transaction that occurred on Monday, September 28th. The stock was sold at an average price of $48.83, for a total transaction of $104,740.35. Following the completion of the transaction, the insider owned 2,145 shares of the company’s stock, valued at $104,740.35. This represents a 50.00% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Ganesh Moorthy acquired 2,500 shares of GlobalFoundries stock in a transaction that occurred on Thursday, November 5th. The stock was purchased at an average cost of $37.48 per share, with a total value of $93,700.00. Following the completion of the purchase, the director owned 5,500 shares in the company, valued at $206,140. The trade was a 83.33% increase in their position. The SEC filing for this purchase provides additional information. Insiders sold 12,925 shares of company stock valued at $633,881 over the last 90 days.

Hedge Funds Weigh In On GlobalFoundries

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. 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 worth $125,147,000 after purchasing an additional 2,813,548 shares during the period. Dimensional Fund Advisors LP increased its holdings in GlobalFoundries by 2.4% in the 1st quarter. Dimensional Fund Advisors LP now owns 1,340,385 shares of the company’s stock valued at $59,571,000 after purchasing an additional 31,590 shares during the last quarter. Bank of America Corp DE raised its position in GlobalFoundries by 106.1% in the first quarter. Bank of America Corp DE now owns 875,361 shares of the company’s stock valued at $38,936,000 after purchasing an additional 450,722 shares during the period. Mirae Asset Global Investments Co. Ltd. purchased a new stake in GlobalFoundries in the third quarter valued at approximately $40,775,000. Finally, Healthcare of Ontario Pension Plan Trust Fund boosted its position in shares of GlobalFoundries by 322.8% during the first quarter. Healthcare of Ontario Pension Plan Trust Fund now owns 715,000 shares of the company’s stock worth $31,803,000 after buying an additional 545,900 shares during the period.

Trending Headlines about GlobalFoundries

Here are the key news stories impacting GlobalFoundries this week:

• Positive Sentiment: A Seeking Alpha article highlights improving margins and commitments that could support future growth. Another report points to a record third-quarter margin, suggesting operational progress. Margins Improve As GlobalFoundries Secures Commitments For Future Growth GlobalFoundries stock: Company posts record Q3 margin
• Positive Sentiment: TD Cowen cut its target to $60 from $75 but kept a Buy rating, while Susquehanna lowered its target to $110 from $125 and retained a positive rating. TD Cowen price-target update Susquehanna price-target update
• Neutral Sentiment: UBS, JPMorgan, and Citi lowered their targets to $43, $50, and $46, respectively, and maintained Neutral ratings. Their targets still imply potential upside from the cited $38.62 share price, but the cuts signal reduced expectations. UBS rating update JPMorgan rating update Citi rating update
• Negative Sentiment: Wedbush made a particularly steep reduction, cutting its target to $45 from $72 and citing a lower valuation multiple. The broader wave of target cuts—including reductions from Citi, JPMorgan, UBS, and TD Cowen—could reinforce concerns about GFS’s near-term valuation and outlook. Wedbush cuts GlobalFoundries price target

GlobalFoundries Company Profile

GlobalFoundries is a semiconductor foundry that manufactures integrated circuits for customers that design their own chips. Its services include wafer fabrication, process technology development, packaging support and design enablement, helping customers bring semiconductor products to market without operating their own fabrication facilities.

The company focuses on specialty technologies used in areas such as automotive electronics, communications, industrial systems, smart devices and data centers.