Stock Traders Purchase High Volume of GlobalFoundries Call Options (NASDAQ:GFS)

GlobalFoundries Inc. (NASDAQ:GFS) saw some unusual options trading on Thursday. Traders acquired 12,944 call options on the stock. This is an increase of approximately 78% compared to the average volume of 7,259 call options.

Analysts Set New Price Targets

GFS has been the topic of several recent research reports. UBS Group reduced their price target on shares of GlobalFoundries from $61.00 to $55.00 and set a “neutral” rating on the stock in a report on Thursday, August 6th. Stifel Nicolaus began coverage on GlobalFoundries in a research report on Tuesday, September 1st. They set a “buy” rating and a $60.00 price objective for the company. Arete Research set a $95.00 target price on GlobalFoundries in a research note on Wednesday, June 10th. Robert W. Baird set a $140.00 price objective on GlobalFoundries in a research report on Thursday, August 6th. Finally, Zacks Research lowered GlobalFoundries from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, August 4th. Nine investment analysts have rated the stock with a Buy rating, nine have issued a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat, GlobalFoundries presently has a consensus rating of “Hold” and a consensus price target of $74.32.

Insider Transactions at GlobalFoundries

In other news, Director Glenda Dorchak sold 4,000 shares of the firm’s stock in a transaction on Monday, July 20th. The stock was sold at an average price of $58.22, for a total value of $232,880.00. Following the completion of the transaction, the director owned 14,867 shares in the company, valued at $865,556.74. This trade represents a 21.20% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Pradheepa Raman sold 6,760 shares of GlobalFoundries stock in a transaction on Tuesday, August 18th. The stock was sold at an average price of $51.12, for a total value of $345,571.20. 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 19,945 shares of company stock worth $1,199,691 over the last ninety days.

Institutional Investors Weigh In On GlobalFoundries

Institutional investors have recently bought and sold shares of the stock. Bessemer Group Inc. boosted its holdings in shares of GlobalFoundries by 8,275,141.2% in 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 during the last quarter. Dimensional Fund Advisors LP increased its holdings in shares of GlobalFoundries by 2.4% during the 1st quarter. Dimensional Fund Advisors LP now owns 1,340,385 shares of the company’s stock worth $59,571,000 after buying an additional 31,590 shares during the last quarter. Bank of America Corp DE raised its position in shares of GlobalFoundries by 106.1% in the 1st quarter. Bank of America Corp DE now owns 875,361 shares of the company’s stock worth $38,936,000 after buying an additional 450,722 shares during the period. Healthcare of Ontario Pension Plan Trust Fund raised its position in shares of GlobalFoundries by 322.8% in the 1st 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. Finally, Atreides Management LP purchased a new position in shares of GlobalFoundries in the 1st quarter worth $21,110,000.

GlobalFoundries Stock Up 4.3%

GFS stock opened at $47.82 on Friday. The company has a 50 day moving average price of $50.12 and a two-hundred day moving average price of $59.21. The company has a debt-to-equity ratio of 0.13, a quick ratio of 1.74 and a current ratio of 2.48. The stock has a market capitalization of $26.24 billion, a P/E ratio of 37.36, a PEG ratio of 1.45 and a beta of 1.78. GlobalFoundries has a one year low of $32.02 and a one year high of $92.55.

GlobalFoundries (NASDAQ:GFS) last issued its quarterly earnings results on Wednesday, August 5th. The company reported $0.46 earnings per share for the quarter, topping analysts’ consensus estimates of $0.43 by $0.03. GlobalFoundries had a return on equity of 6.69% and a net margin of 10.36%.The company had revenue of $1.79 billion for the quarter, compared to analyst estimates of $1.77 billion. During the same quarter in the prior year, the company posted $0.42 EPS. The business’s revenue for the quarter was up 5.8% compared to the same quarter last year. GlobalFoundries has set its Q3 2026 guidance at 0.460-0.560 EPS. As a group, sell-side analysts expect that GlobalFoundries will post 1.48 EPS for the current year.

GlobalFoundries Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, October 9th. Investors of record on Wednesday, September 23rd will be given a $0.12 dividend. The ex-dividend date of this dividend is Wednesday, September 23rd. This represents a $0.48 annualized dividend and a dividend yield of 1.0%. GlobalFoundries’s dividend payout ratio (DPR) is currently 37.50%.

More GlobalFoundries News

Here are the key news stories impacting GlobalFoundries this week:

• Positive Sentiment: Expanded Marvell capacity agreement strengthens AI exposure. The deal positions GlobalFoundries to benefit from rising demand for optical connectivity as AI workloads increase data-center networking requirements. However, the companies did not disclose specific financial terms, so the near-term earnings impact remains unclear. Reuters article on the GlobalFoundries and Marvell capacity agreement
• Positive Sentiment: Potential U.S. fab role could create another strategic growth opportunity. Reports indicate GlobalFoundries could operate a U.S. chip plant supported by Japan-U.S. investment. The arrangement could improve its access to government-backed semiconductor spending, although the report remains unconfirmed and details are limited. Yahoo Finance report on a potential Japan-backed U.S. chip plant
• Positive Sentiment: Options activity suggests increased speculative interest. Investors purchased 12,944 GFS call options, 78% above the average daily volume, indicating some traders are positioning for potential upside.
• Neutral Sentiment: Insider selling was limited and conducted under a preset plan. Director Samak Azar sold 335 shares worth approximately $15,031, reducing ownership by 3.42%. Because the transaction occurred under a Rule 10b5-1 plan and was small relative to the remaining stake, it is not a strong standalone bearish signal. SEC insider transaction filing

GlobalFoundries Company Profile

GlobalFoundries Inc (NASDAQ:GFS) is a global semiconductor manufacturer that provides contract chip production and related services to technology companies. Unlike a fabless semiconductor company, GlobalFoundries operates its own fabrication facilities and manufactures chips designed by other companies across a range of end markets.

The company specializes in differentiated semiconductor technologies, including radio-frequency and connectivity solutions, embedded memory, power management, silicon photonics, gallium nitride and other specialty processes.