Forecasting The Future: 5 Analyst Projections For GLOBALFOUNDRIES

GLOBALFOUNDRIES GFS underwent analysis by 5 analysts in the last quarter, revealing a spectrum of viewpoints from bullish to bearish.

Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $41.8, a high estimate of $52.00, and a low estimate of $37.00. Witnessing a positive shift, the current average has risen by 2.78% from the previous average price target of $40.67.

Decoding Analyst Ratings: A Detailed Look

An in-depth analysis of recent analyst actions unveils how financial experts perceive GLOBALFOUNDRIES. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to GLOBALFOUNDRIES. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Providing a comprehensive analysis, analysts offer qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of GLOBALFOUNDRIES compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for GLOBALFOUNDRIES's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

For valuable insights into GLOBALFOUNDRIES's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.

Stay up to date on GLOBALFOUNDRIES analyst ratings.

Unveiling the Story Behind GLOBALFOUNDRIES

GlobalFoundries is a top-five contract semiconductor manufacturer globally. It was originally the manufacturing arm of Advanced Micro Devices before it was spun out in 2009. The foundry sells chips into a range of end markets including smartphones, PCs, Internet of Things, data centers, automotive, industrial, and so on, but primarily focuses on more mature process technologies. Until 2021, the firm was privately held by Mubadala Investment, the sovereign wealth fund of the United Arab Emirates, which remains its controlling shareholder today. GlobalFoundries merged with Chartered Semiconductor Manufacturing in 2009 and acquired IBM's chipmaking business in 2015. GF is headquartered in Malta, New York, and employs about 13,000 people.

GLOBALFOUNDRIES's Financial Performance

Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: Over the 3M period, GLOBALFOUNDRIES showcased positive performance, achieving a revenue growth rate of 2.32% as of 31 March, 2025. This reflects a substantial increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Information Technology sector.

Net Margin: GLOBALFOUNDRIES's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of 13.25%, the company may encounter challenges in effective cost control.

Return on Equity (ROE): GLOBALFOUNDRIES's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 1.92%, the company may encounter challenges in delivering satisfactory returns for shareholders.

Return on Assets (ROA): GLOBALFOUNDRIES's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of 1.26%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: GLOBALFOUNDRIES's debt-to-equity ratio is below the industry average at 0.15, reflecting a lower dependency on debt financing and a more conservative financial approach.

Analyst Ratings: Simplified

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.