GlobalFoundries (NASDAQ:GFS) Given New $43.00 Price Target at UBS Group

GlobalFoundries (NASDAQ:GFS) had its price target decreased by UBS Group from $48.00 to $43.00 in a research note issued to investors on Thursday morning,Benzinga reports. UBS Group currently has a neutral rating on the stock.

GFS has been the topic of several other research reports. Susquehanna dropped their target price on GlobalFoundries from $125.00 to $110.00 and set a “positive” rating on the stock in a research report on Thursday. Morgan Stanley reduced their price target on GlobalFoundries from $60.00 to $56.00 and set an “equal weight” rating for the company in a report on Monday. Cantor Fitzgerald restated an “overweight” rating on shares of GlobalFoundries in a research note on Thursday, October 15th. Needham & Company LLC dropped their price objective on GlobalFoundries from $80.00 to $55.00 and set a “buy” rating on the stock in a report on Wednesday. Finally, Stifel Nicolaus started coverage on GlobalFoundries in a report on Tuesday, September 1st. They set a “buy” rating and a $60.00 price objective on the stock. Eight analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $67.79.

GlobalFoundries Stock Down 10.0%

Shares of NASDAQ:GFS opened at $36.33 on Thursday. GlobalFoundries has a fifty-two week low of $32.02 and a fifty-two week high of $92.55. The company has a quick ratio of 1.74, a current ratio of 2.48 and a debt-to-equity ratio of 0.13. The firm’s 50-day simple moving average is $45.99 and its 200-day simple moving average is $54.90. The company has a market cap of $19.93 billion, a price-to-earnings ratio of 103.79, a PEG ratio of 1.28 and a beta of 1.78.

GlobalFoundries (NASDAQ:GFS) last posted its quarterly earnings results on Wednesday, November 4th. The company reported $0.53 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.51 by $0.02. The firm had revenue of $1.90 billion during the quarter, compared to analysts’ expectations of $1.89 billion. GlobalFoundries had a net margin of 2.81% and a return on equity of 7.18%. The firm’s revenue for the quarter was up 12.5% on a year-over-year basis. During the same period in the prior year, the company posted $0.44 earnings per share. As a group, equities research analysts predict that GlobalFoundries will post 1.48 earnings per share for the current year.

GlobalFoundries Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, January 14th. Shareholders of record on Tuesday, December 22nd will be given a dividend of $0.12 per share. This represents a $0.48 annualized dividend and a yield of 1.3%. The ex-dividend date is Tuesday, December 22nd. GlobalFoundries’s dividend payout ratio is presently 137.14%.

Insider Transactions at GlobalFoundries

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

Institutional Investors Weigh In On GlobalFoundries

Several institutional investors and hedge funds have recently made changes to their positions in the business. Bessemer Group Inc. grew its holdings in GlobalFoundries by 8,275,141.2% during the 1st quarter. Bessemer Group Inc. now owns 2,813,582 shares of the company’s stock valued at $125,147,000 after buying an additional 2,813,548 shares during the last quarter. Dimensional Fund Advisors LP increased its position in GlobalFoundries by 2.4% during the first 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 in the last quarter. Mirae Asset Global Investments Co. Ltd. acquired a new position in shares of GlobalFoundries in the third quarter worth $40,775,000. Bank of America Corp DE raised its holdings in shares of GlobalFoundries by 106.1% in the first quarter. Bank of America Corp DE now owns 875,361 shares of the company’s stock worth $38,936,000 after acquiring an additional 450,722 shares during the last quarter. Finally, Healthcare of Ontario Pension Plan Trust Fund raised its holdings in shares of 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 worth $31,803,000 after acquiring an additional 545,900 shares during the last quarter.

Trending Headlines about 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

About GlobalFoundries

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.