Is Globalfoundries Stock a Good Investment?

Globalfoundries Investment Advice

GFS

To provide specific investment advice or recommendations on Globalfoundries stock, we recommend investors consider the following general factors when evaluating Globalfoundries. This will help you to make an informed decision on whether to include Globalfoundries in one of your diversified portfolios:

Examine Globalfoundries' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
Research Globalfoundries' leadership team and their track record. Good management can help Globalfoundries navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
Consider the overall health of the Semiconductors & Semiconductor Equipment space and any emerging trends that could impact Globalfoundries' business and its evolving consumer preferences.
Compare Globalfoundries' performance and market position to its competitors. Analyze how Globalfoundries is positioned in terms of product offerings, innovation, and market share.
Check if Globalfoundries pays a dividend and its dividend yield and payout ratio.
Review what financial analysts are saying about Globalfoundries' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.

It's important to note that investing in Globalfoundries stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Globalfoundries is a good investment.

Sell

Buy

Strong Sell

Our investment recommendation module provides unbiased trade recommendations that can be used to complement current average analyst sentiment on Globalfoundries. Our investment recommendation engine provides an advice for the firm potential to grow from the perspective of an investor's risk tolerance and investing horizon. To make sure Globalfoundries is not overpriced, please check out all Globalfoundries fundamentals, including its revenue, cash flow from operations, working capital, as well as the relationship between the cash per share and number of employees . Given that Globalfoundries has a price to earning of 56.10 X, we strongly advise you to confirm Globalfoundries market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your regular risk tolerance and investing horizon.

Market Performance	Very Weak	Details
Volatility	Very steady	Details
Hype Condition	Stale	Details
Current Valuation	Fairly Valued	Details
Odds Of Distress	Low	Details
Economic Sensitivity	Actively responds to the market	Details
Investor Sentiment	Impartial	Details
Analyst Consensus	Buy	Details
Reporting Quality (M-Score)	Unavailable	Details

Examine Globalfoundries Stock

Researching Globalfoundries' stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 100.0% of the company shares are owned by institutional investors. The book value of Globalfoundries was currently reported as 20.06. The company has Price/Earnings To Growth (PEG) ratio of 1.49. Globalfoundries had not issued any dividends in recent years.

To determine if Globalfoundries is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Globalfoundries' research are outlined below:

	Globalfoundries generated a negative expected return over the last 90 days
	Latest headline from finance.yahoo.com: US Chips Act Beneficiary GlobalFoundries Stock Soars On Q1 Earnings - Whats Going On

Globalfoundries Quarterly Cost Of Revenue

1.16 Billion

Globalfoundries uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Globalfoundries. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Globalfoundries' previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.

	13th of February 2024 Upcoming Quarterly Report	View
	14th of May 2024 Next Financial Report	View
	31st of December 2023 Next Fiscal Quarter End	View
	13th of February 2024 Next Fiscal Year End	View
	30th of September 2023 Last Quarter Report	View
	31st of December 2022 Last Financial Announcement	View

Earnings surprises can significantly impact Globalfoundries' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Globalfoundries' investors have experienced.

Reported	Fiscal Date	Estimated EPS	Reported EPS	Surprise
2024-02-13	2023-12-31	0.58	0.64	0.06	10
2023-11-07	2023-09-30	0.49	0.55	0.06	12
2022-02-08	2021-12-31	0.11	0.18	0.07	63
2021-11-30	2021-09-30	-0.0037	0.07	0.0737	1991
2024-05-07	2024-03-31	0.23	0.31	0.08	34
2022-08-09	2022-06-30	0.45	0.58	0.13	28
2022-05-10	2022-03-31	0.23	0.42	0.19	82
2023-02-14	2022-12-31	1.18	1.44	0.26	22

Globalfoundries Target Price Consensus

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Globalfoundries target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. Globalfoundries' target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.

Buy

Most Globalfoundries analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand Globalfoundries stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of Globalfoundries, talking to its executives and customers, or listening to those companies' conference calls.

Macroaxis Advice Exposure Valuation

Globalfoundries Target Price Projection

Globalfoundries' current and average target prices are 52.36 and 71.64, respectively. The current price of Globalfoundries is the price at which Globalfoundries is currently trading. On the other hand, Globalfoundries' target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.

Current Price

Globalfoundries Market Quote on 9th of May 2024

Low Price	51.96	Odds
High Price	53.37	Odds

52.36 Target Price

Analyst Consensus On Globalfoundries Target Price

Low Estimate	65.19	Odds
High Estimate	79.52	Odds

71.64

Historical

Lowest Forecast 65.19

Target Price 71.64

Highest Forecast 79.52

Note that most analysts generally publish their price targets in research reports on specific companies, along with recommendations for the company's stock.Although price targets are often quoted in the financial news media, there could be a delay between the publication of the latest analyst outlook on Globalfoundries and the information provided on this page.

Globalfoundries Analyst Ratings

Globalfoundries' analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about Globalfoundries stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of Globalfoundries' financials, market performance, and future outlook by experienced professionals. Globalfoundries' historical ratings below, therefore, can serve as a valuable tool for investors.

Know Globalfoundries' Top Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Globalfoundries is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Globalfoundries backward and forwards among themselves. Globalfoundries' institutional investor refers to the entity that pools money to purchase Globalfoundries' securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.

		Shares
State Street Corporation	2023-12-31	1.1 M
Morgan Stanley - Brokerage Accounts	2023-12-31	979 K
Mirae Asset Global Investments (korea) Co Ltd	2023-12-31	960.1 K
Citadel Advisors Llc	2023-09-30	936.8 K
Jane Street Group, Llc	2023-12-31	809.8 K
Geode Capital Management, Llc	2023-12-31	776.1 K
American Century Companies Inc	2023-12-31	652.3 K
D. E. Shaw & Co Lp	2023-09-30	605.6 K
Bank Of New York Mellon Corp	2023-12-31	536.1 K
Mubadala Investment Company Pjsc	2023-12-31	469.5 M
Fmr Inc	2023-12-31	34.9 M

Note, although Globalfoundries' institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Globalfoundries' market capitalization trends

The company currently falls under 'Large-Cap' category with a total capitalization of 29.58 B. Market capitalization usually refers to the total value of a company's stock within the entire market. To calculate Globalfoundries's market, we take the total number of its shares issued and multiply it by Globalfoundries's current market price. To manage market risk and economic uncertainty, many investors today build portfolios that are diversified across equities with different market capitalizations. However, as a general rule, conservative investors tend to hold large-cap stocks, and those looking for more risk prefer small-cap and mid-cap equities.

Market Cap

27.82 Billion

Globalfoundries' profitablity analysis

Globalfoundries' profitability indicators refer to fundamental financial ratios that showcase Globalfoundries' ability to generate income relative to its revenue or operating costs. If, let's say, Globalfoundries is currently losing money, the management's focus should be on how to reverse that trend. However, when revenue exceeds expenses, Globalfoundries' executives or investors may be in less hurry to break that information down - which is where profitability analysis comes into play. Gaining a greater understanding of Globalfoundries' profitability requires more research than a typical breakdown of Globalfoundries' financial statements. By doing a profitability analysis, companies can identify areas needing attention, and investors can make a profitable trade.

	Last Reported	Projected for Next Year
Return On Tangible Assets	0.06	0.06
Return On Capital Employed	0.08	0.08
Return On Assets	0.06	0.06
Return On Equity	0.09	0.1

The company has Net Profit Margin of 0.14 %, which implies that it may need a different competitive strategy as even a very small decline in it revenue may erase profits and result in a net loss. This is way below average. In the same way, it shows Net Operating Margin of 0.18 %, which entails that for every 100 dollars of revenue, it generated $0.18 of operating income.

Determining Globalfoundries' profitability involves analyzing its financial statements and using various financial metrics to determine if Globalfoundries is a good buy. For example, gross profit margin measures Globalfoundries' profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Globalfoundries' profitability and make more informed investment decisions.

The data published in Globalfoundries' official financial statements usually reflect Globalfoundries' business processes, product offerings, services, and other fundamental events. But there are other numbers, ratios, or fundamental indicators derived from these statements that are easier to understand and visualize within the underlying realities that drive quantitative information of Globalfoundries. For example, before you start analyzing numbers published by Globalfoundries accountants, it's critical to develop an understanding of what Globalfoundries' liquidity, profitability, and earnings quality are in the context of the Semiconductors & Semiconductor Equipment space in which it operates.

Please note, the presentation of Globalfoundries' financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Globalfoundries' management is honest, while the outside auditors are strict and uncompromising. Whatever the case, the imprecision that can be found in Globalfoundries' accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Globalfoundries. Please utilize our Beneish M Score to check the likelihood of Globalfoundries' management manipulating its earnings.

Evaluate Globalfoundries' management efficiency

Globalfoundries has Return on Asset of 0.0418 % which means that on every $100 spent on assets, it made $0.0418 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.0964 %, implying that it generated $0.0964 on every 100 dollars invested. Globalfoundries' management efficiency ratios could be used to measure how well Globalfoundries manages its routine affairs as well as how well it operates its assets and liabilities. Return On Tangible Assets is likely to gain to 0.06 in 2024. Return On Capital Employed is likely to gain to 0.08 in 2024. At this time, Globalfoundries' Non Current Assets Total are comparatively stable compared to the past year. Return On Tangible Assets is likely to gain to 0.06 in 2024, whereas Net Tangible Assets are likely to drop slightly above 8.8 B in 2024.

	Last Reported	Projected for Next Year
Book Value Per Share	20.12	11.28
Net Current Asset Value	0.00	0.00
Tangible Asset Value	0.00	0.00
Tangible Book Value Per Share	19.49	10.79
Enterprise Value Over EBITDA	12.61	11.98
Price Book Value Ratio	3.01	4.77
Enterprise Value Multiple	12.61	11.98
Price Fair Value	3.01	4.77
Enterprise Value	36.7 B	44.5 B

The analysis of Globalfoundries' management efficiency is an essential part of evaluating and assessing the financial and operational performance of the entity. It is also vital to analyze Globalfoundries' future growth prospects and the overall market conditions to determine the value and potential of its stock. The analysis involves studying a range of financial metrics such as revenue, earnings, profit margins, cash flow, debt, market share, and external factors such as economic trends, industry outlook, competition, and government regulations. The goal of Globalfoundries Stock analysis is to determine whether it is undervalued, fairly valued, or overvalued and to make informed investment decisions.

Beta

1.61

Basic technical analysis of Globalfoundries Stock

As of the 9th of May, Globalfoundries retains the Standard Deviation of 2.32, risk adjusted performance of (0.0006), and Market Risk Adjusted Performance of 0.1234. Globalfoundries technical analysis makes it possible for you to employ historical prices and volume momentum with the intention to determine a pattern that calculates the direction of the firm's future prices. Simply put, you can use this information to find out if the firm will indeed mirror its model of historical price patterns, or the prices will eventually revert. We were able to analyze and collect data for thirteen technical drivers for Globalfoundries, which can be compared to its competitors. Please check out Globalfoundries information ratio and skewness to decide if Globalfoundries is priced fairly, providing market reflects its last-minute price of 52.36 per share. Given that Globalfoundries has information ratio of (0.05), we strongly advise you to confirm Globalfoundries's regular market performance to make sure the company can sustain itself at a future point.

Understand Globalfoundries' technical and predictive indicators

Using predictive indicators to make investment decisions involves analyzing Globalfoundries' various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.

	Risk Adjusted Performance	(0.0006)
	Market Risk Adjusted Performance	0.1234
	Mean Deviation	1.78
	Coefficient Of Variation	(7,839)
	Standard Deviation	2.32
	Variance	5.38
	Information Ratio	(0.05)
	Jensen Alpha	(0.01)
	Total Risk Alpha	(0.33)
	Treynor Ratio	0.1134
	Maximum Drawdown	8.79
	Value At Risk	(3.83)
	Potential Upside	3.73
	Skewness	0.0031
	Kurtosis	1.04

	Risk Adjusted Performance	(0.0006)
	Market Risk Adjusted Performance	0.1234
	Mean Deviation	1.78
	Coefficient Of Variation	(7,839)
	Standard Deviation	2.32
	Variance	5.38
	Information Ratio	(0.05)
	Jensen Alpha	(0.01)
	Total Risk Alpha	(0.33)
	Treynor Ratio	0.1134
	Maximum Drawdown	8.79
	Value At Risk	(3.83)
	Potential Upside	3.73
	Skewness	0.0031
	Kurtosis	1.04

Consider Globalfoundries' intraday indicators

Globalfoundries intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Globalfoundries stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.

	Accumulation Distribution	39956.6
	Daily Balance Of Power	(0.64)
	Rate Of Daily Change	0.98
	Day Median Price	52.67
	Day Typical Price	52.56
	Price Action Indicator	(0.75)
	Period Momentum Indicator	(0.90)
	Relative Strength Index	53.74

Globalfoundries Corporate Filings

6K	7th of May 2024 A report filed by foreign private issuers with SEC. A foreign private issuer is a non-U.S. company with securities traded on U.S. exchanges.	View Verify
	29th of April 2024 Other Reports	View Verify
13A	9th of February 2024 An amended filing to the original Schedule 13G	View Verify

Globalfoundries time-series forecasting models is one of many Globalfoundries' stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Globalfoundries' historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.

Globalfoundries Stock media impact

Far too much social signal, news, headlines, and media speculation about Globalfoundries that are available to investors today. That information is available publicly through Globalfoundries media outlets and privately through word of mouth or via Globalfoundries internal channels. However, regardless of the origin, that massive amount of Globalfoundries data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.

A primary focus of Globalfoundries news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Globalfoundries relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Globalfoundries' headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Globalfoundries alpha.

Globalfoundries Sentiment by Major News Outlets

Investor sentiment, mood or attitude towards Globalfoundries can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.

Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.

Globalfoundries Historical Investor Sentiment

Investor biases related to Globalfoundries' public news can be used to forecast risks associated with an investment in Globalfoundries. The trend in average sentiment can be used to explain how an investor holding Globalfoundries can time the market purely based on public headlines and social activities around Globalfoundries. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.

Globalfoundries' market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Globalfoundries and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Globalfoundries news discussions. The higher the estimate score, the more favorable the investor's outlook on Globalfoundries.

Be your own money manager

Our tools can tell you how much better you can do entering a position in Globalfoundries without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.

Did you try this?

Run Commodity Channel Now

Commodity Channel

Use Commodity Channel Index to analyze current equity momentum

All Next

Launch Module

Globalfoundries Corporate Management

Elected by the shareholders, the Globalfoundries' board of directors comprises two types of representatives: Globalfoundries inside directors who are chosen from within the company, and outside directors, selected externally and held independent of Globalfoundries. The board's role is to monitor Globalfoundries' management team and ensure that shareholders' interests are well served. Globalfoundries' inside directors are responsible for reviewing and approving budgets prepared by upper management to implement core corporate initiatives and projects. On the other hand, Globalfoundries' outside directors are responsible for providing unbiased perspectives on the board's policies.

Brad Clay	Chief Officer	Profile
Thomas Weber	VP Chain	Profile
Laurie Kelly	Chief Officer	Profile
David Reeder	CFO Fin	Profile
Kay Ang	Chief Officer	Profile
Pradheepa Raman	Chief Officer	Profile
Sam Franklin	Vice Relations	Profile

How to buy Globalfoundries Stock?

Examine Globalfoundries' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
Research Globalfoundries' leadership team and their track record. Good management can help Globalfoundries navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
Consider the overall health of the Semiconductors & Semiconductor Equipment space and any emerging trends that could impact Globalfoundries' business and its evolving consumer preferences.
Compare Globalfoundries' performance and market position to its competitors. Analyze how Globalfoundries is positioned in terms of product offerings, innovation, and market share.
Check if Globalfoundries pays a dividend and its dividend yield and payout ratio.
Review what financial analysts are saying about Globalfoundries' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.

Already Invested in Globalfoundries?

The danger of trading Globalfoundries is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of Globalfoundries is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than Globalfoundries. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Globalfoundries is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.

When determining whether Globalfoundries is a strong investment it is important to analyze Globalfoundries' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Globalfoundries' future performance. For an informed investment choice regarding Globalfoundries Stock, refer to the following important reports: