GlobalFoundries (NASDAQ:GFS) Shares Gap Up – Here’s Why

GlobalFoundries Inc. (NASDAQ:GFS) gapped up before the market opened on Tuesday . The stock had previously closed at $36.01, but opened at $41.95. GlobalFoundries shares last traded at $39.12, with a volume of 1,863,014 shares.

Analysts Set New Price Targets

A number of equities research analysts have commented on the company. TD Cowen reduced their target price on GlobalFoundries from $65.00 to $55.00 and set a “buy” rating on the stock in a research report on Wednesday, August 7th. Cantor Fitzgerald decreased their price target on GlobalFoundries from $55.00 to $40.00 and set a “neutral” rating on the stock in a research note on Tuesday, October 8th. Deutsche Bank Aktiengesellschaft dropped their price objective on GlobalFoundries from $60.00 to $55.00 and set a “buy” rating for the company in a research note on Wednesday, August 7th. Wedbush reissued an “outperform” rating and issued a $65.00 price objective on shares of GlobalFoundries in a research note on Wednesday, August 7th. Finally, Morgan Stanley cut GlobalFoundries from an “overweight” rating to an “equal weight” rating and reduced their price objective for the company from $53.00 to $43.00 in a research note on Monday, October 28th. Eight research analysts have rated the stock with a hold rating and six have issued a buy rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus price target of $54.85.

GlobalFoundries Stock Up 13.9 %

The stock has a market cap of $22.63 billion, a PE ratio of 27.14, a P/E/G ratio of 5.92 and a beta of 1.53. The business has a 50 day moving average of $40.42 and a 200-day moving average of $46.57. The company has a current ratio of 2.22, a quick ratio of 1.59 and a debt-to-equity ratio of 0.19.

GlobalFoundries (NASDAQ:GFS) last released its earnings results on Tuesday, August 6th. The company reported $0.38 EPS for the quarter, topping the consensus estimate of $0.28 by $0.10. GlobalFoundries had a net margin of 11.82% and a return on equity of 7.75%. The company had revenue of $1.63 billion during the quarter, compared to analysts’ expectations of $1.61 billion. During the same quarter last year, the business earned $0.45 EPS. The business’s revenue was down 11.5% on a year-over-year basis. Equities research analysts predict that GlobalFoundries Inc. will post 1.09 EPS for the current fiscal year.

Hedge Funds Weigh In On GlobalFoundries

Several hedge funds have recently added to or reduced their stakes in the business. Allspring Global Investments Holdings LLC acquired a new stake in shares of GlobalFoundries during the third quarter valued at $34,000. Massmutual Trust Co. FSB ADV acquired a new position in shares of GlobalFoundries in the second quarter valued at approximately $59,000. US Bancorp DE lifted its stake in shares of GlobalFoundries by 77.0% during the third quarter. US Bancorp DE now owns 1,218 shares of the company’s stock valued at $49,000 after buying an additional 530 shares during the period. Thurston Springer Miller Herd & Titak Inc. acquired a new position in GlobalFoundries in the 2nd quarter valued at $65,000. Finally, CWM LLC lifted its stake in shares of GlobalFoundries by 38.6% during the 2nd quarter. CWM LLC now owns 1,339 shares of the company’s stock worth $68,000 after purchasing an additional 373 shares during the period.

About GlobalFoundries

GlobalFoundries Inc, a semiconductor foundry, provides range of mainstream wafer fabrication services and technologies worldwide. It manufactures various semiconductor devices, including microprocessors, mobile application processors, baseband processors, network processors, radio frequency modems, microcontrollers, and power management units.