GlobalFoundries Sees Unusually Large Options Volume (NASDAQ:GFS)

GlobalFoundries Inc. (NASDAQ:GFS) saw unusually large options trading on Thursday. Investors bought 12,944 call options on the company. This is an increase of approximately 78% compared to the average daily volume of 7,259 call options.

Insider Transactions at GlobalFoundries

In other news, Director Glenda Dorchak sold 4,000 shares of the stock in a transaction that occurred on Monday, July 20th. The shares were sold at an average price of $58.22, for a total value of $232,880.00. Following the transaction, the director owned 14,867 shares in the company, valued at $865,556.74. This represents a 21.20% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Michael Hogan sold 500 shares of the firm’s stock in a transaction that occurred on Thursday, July 9th. The stock was sold at an average price of $70.90, for a total transaction of $35,450.00. Following the completion of the transaction, the insider directly owned 795 shares in the company, valued at approximately $56,365.50. The trade was a 38.61% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 19,610 shares of company stock valued at $1,184,660.

Institutional Trading of GlobalFoundries

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Aster Capital Management DIFC Ltd lifted its holdings in shares of GlobalFoundries by 844.7% in the fourth quarter. Aster Capital Management DIFC Ltd now owns 62,593 shares of the company’s stock valued at $2,186,000 after purchasing an additional 55,967 shares in the last quarter. Sei Investments Co. raised its stake in shares of GlobalFoundries by 239.0% during the 1st quarter. Sei Investments Co. now owns 48,246 shares of the company’s stock worth $2,146,000 after purchasing an additional 34,014 shares in the last quarter. AXQ Capital LP boosted its position in shares of GlobalFoundries by 438.9% in the fourth quarter. AXQ Capital LP now owns 49,617 shares of the company’s stock valued at $1,733,000 after acquiring an additional 40,410 shares during the period. Bank of America Corp DE lifted its holdings in GlobalFoundries by 106.1% during the 1st 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 last quarter. Finally, Monaco Asset Management SAM acquired a new position in GlobalFoundries in the fourth quarter valued at approximately $6,984,000.

GlobalFoundries Stock Up 5.5%

Shares of GlobalFoundries stock traded up $2.35 during trading on Thursday, hitting $45.38. 3,437,367 shares of the stock traded hands, compared to its average volume of 4,253,961. The stock’s fifty day simple moving average is $51.03 and its 200 day simple moving average is $59.30. GlobalFoundries has a 52-week low of $32.02 and a 52-week high of $92.55. The firm has a market cap of $24.90 billion, a P/E ratio of 35.33, a price-to-earnings-growth ratio of 1.36 and a beta of 1.78. The company has a current ratio of 2.48, a quick ratio of 1.74 and a debt-to-equity ratio of 0.13.

GlobalFoundries (NASDAQ:GFS) last issued its quarterly earnings data on Wednesday, August 5th. The company reported $0.46 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.43 by $0.03. GlobalFoundries had a net margin of 10.36% and a return on equity of 6.69%. The firm had revenue of $1.79 billion for the quarter, compared to the consensus estimate of $1.77 billion. During the same quarter in the previous year, the firm earned $0.42 EPS. The company’s quarterly revenue was up 5.8% compared to the same quarter last year. GlobalFoundries has set its Q3 2026 guidance at 0.460-0.560 EPS. On average, equities analysts predict that GlobalFoundries will post 1.48 earnings per share for the current fiscal year.

GlobalFoundries Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, October 9th. Stockholders of record on Wednesday, September 23rd will be given a $0.12 dividend. The ex-dividend date is Wednesday, September 23rd. This represents a $0.48 annualized dividend and a dividend yield of 1.1%. GlobalFoundries’s dividend payout ratio (DPR) is 37.50%.

Analyst Upgrades and Downgrades

GFS has been the topic of several analyst reports. Jefferies Financial Group set a $60.00 target price on GlobalFoundries in a research report on Wednesday, August 5th. Robert W. Baird set a $140.00 price objective on GlobalFoundries in a research note on Thursday, August 6th. Arete Research set a $95.00 price objective on GlobalFoundries in a research report on Wednesday, June 10th. Stifel Nicolaus began coverage on GlobalFoundries in a research note on Tuesday, September 1st. They set a “buy” rating and a $60.00 price objective for the company. Finally, Morgan Stanley reissued a “negative” rating and issued a $60.00 target price on shares of GlobalFoundries in a report on Thursday, August 6th. Nine analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus target price of $74.32.

About GlobalFoundries

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.