GlobalFoundries (NASDAQ:GFS) Stock Price Target Lowered at UBS Group

GlobalFoundries (NASDAQ:GFS) had its price target dropped by UBS Group from $48.00 to $43.00 in a research report issued on Thursday, Benzinga reports. The brokerage currently has a “neutral” rating on the stock. UBS Group‘s price target would indicate a potential upside of 18.38% from the company’s current price.

Other analysts also recently issued research reports about the company. Needham & Company LLC reduced their price objective on GlobalFoundries from $80.00 to $55.00 and set a “buy” rating for the company in a research report on Wednesday. Citigroup decreased their price objective on GlobalFoundries from $58.00 to $46.00 and set a “neutral” rating on the stock in a report on Thursday. Cantor Fitzgerald restated an “overweight” rating on shares of GlobalFoundries in a research report on Thursday, October 15th. Robert W. Baird set a $140.00 target price on GlobalFoundries in a research note on Thursday, August 6th. Finally, BNP Paribas Exane cut GlobalFoundries from an “outperform” rating to a “neutral” rating and set a $51.00 target price for the company. in a research report on Monday, October 5th. Eight equities research analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus price target of $67.79.

GlobalFoundries Stock Down 10.0%

NASDAQ GFS opened at $36.33 on Thursday. 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 firm has a 50-day simple moving average of $45.99 and a 200 day simple moving average of $54.90. GlobalFoundries has a twelve month low of $32.02 and a twelve month high of $92.55. The stock has a market cap of $19.93 billion, a PE ratio of 103.79, a PEG ratio of 1.28 and a beta of 1.78.

GlobalFoundries (NASDAQ:GFS) last released its earnings results on Wednesday, November 4th. The company reported $0.53 earnings per share for the quarter, topping analysts’ consensus estimates of $0.51 by $0.02. GlobalFoundries had a return on equity of 7.18% and a net margin of 2.81%. The business had revenue of $1.90 billion for the quarter, compared to the consensus estimate of $1.89 billion. During the same period last year, the business earned $0.44 earnings per share. The firm’s revenue for the quarter was up 12.5% compared to the same quarter last year. On average, research analysts forecast that GlobalFoundries will post 1.48 EPS for the current year.

Insider Transactions at GlobalFoundries

In other GlobalFoundries news, insider Pradheepa Raman sold 6,760 shares of the firm’s stock in a transaction dated Tuesday, August 18th. The shares were sold at an average price of $51.12, for a total transaction of $345,571.20. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 12,590 shares of company stock valued at $620,877 over the last three months.

Hedge Funds Weigh In On GlobalFoundries

A number of hedge funds have recently modified their holdings of GFS. Bessemer Group Inc. increased 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 in the last quarter. Dimensional Fund Advisors LP lifted its holdings in GlobalFoundries by 2.4% during 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 boosted 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 buying an additional 450,722 shares in the last quarter. Mirae Asset Global Investments Co. Ltd. acquired a new position in GlobalFoundries in the third quarter valued at about $40,775,000. Finally, Healthcare of Ontario Pension Plan Trust Fund boosted its position in GlobalFoundries by 322.8% in the first quarter. Healthcare of Ontario Pension Plan Trust Fund now owns 715,000 shares of the company’s stock valued at $31,803,000 after buying an additional 545,900 shares in the last quarter.

Key Headlines Impacting GlobalFoundries

Here are the key news stories impacting GlobalFoundries this week:

• Positive Sentiment: GlobalFoundries reported Q3 earnings of $0.53 per share, above the $0.51 consensus, and revenue of $1.90 billion, slightly ahead of estimates and up 12.5% year over year. Recent coverage also highlighted a record Q3 margin and commitments supporting future growth. GlobalFoundries Q3 earnings and revenues beat estimates GlobalFoundries posts record Q3 margin Margins improve as GlobalFoundries secures commitments for future growth
• Neutral Sentiment: Although Susquehanna lowered its target from $125 to $110, it kept a positive rating; TD Cowen cut its target from $75 to $60 but retained a buy rating. These recommendations indicate continued optimism from some analysts, despite lower valuations. Susquehanna lowers GlobalFoundries price target TD Cowen lowers GlobalFoundries price target
• Negative Sentiment: Several firms reduced their price targets, pointing to weaker valuation expectations. Wedbush cut its target from $72 to $45, Citigroup from $58 to $46, JPMorgan from $57 to $50, and Needham from $80 to $55. The breadth of the revisions is likely weighing on GFS even after the earnings beat; Wedbush, Citi, and JPMorgan have neutral ratings, while Needham remains bullish. Wedbush cuts GlobalFoundries valuation target Citigroup lowers GlobalFoundries stock price target Wedbush lowers GlobalFoundries price target

GlobalFoundries Company Profile

GlobalFoundries Inc (NASDAQ:GFS) is a semiconductor manufacturer that operates as a contract foundry, producing chips designed by other companies. The company provides wafer fabrication and related services for customers in the automotive, communications infrastructure, aerospace and defense, industrial, and consumer electronics markets.

GlobalFoundries specializes in differentiated semiconductor technologies rather than competing primarily in the most advanced logic-processing nodes. Its offerings include radio-frequency and silicon-on-insulator technologies, embedded memory, power-management solutions, high-voltage processes, silicon photonics, and other specialty platforms used in connectivity, sensing, automotive electronics, and edge-computing applications.

The company was established in 2009 through the separation of Advanced Micro Devices’ manufacturing operations, with investment from the Abu Dhabi-based Advanced Technology Investment Company.