GlobalFoundries Inc (NASDAQ: GFS)’s stock price has decreased by -1.37 compared to its previous closing price of 36.89. However, the company has seen a -8.39% decrease in its stock price over the last five trading sessions. reuters.com reported 2025-03-31 that Taiwan’s major chipmaker United Microelectronics and U.S.-based GlobalFoundries are exploring the possibility of a merger, the Nikkei reported on Monday, citing an assessment plan seen by the newspaper.
Is It Worth Investing in GlobalFoundries Inc (NASDAQ: GFS) Right Now?
The stock has a 36-month beta value of 1.53. Opinions on the stock are mixed, with 7 analysts rating it as a “buy,” 3 as “overweight,” 9 as “hold,” and 2 as “sell.”
The public float for GFS is 104.62M, and at present, short sellers hold a 12.02% of that float. On March 31, 2025, the average trading volume of GFS was 2.23M shares.
GFS’s Market Performance
The stock of GlobalFoundries Inc (GFS) has seen a -8.39% decrease in the past week, with a -6.15% drop in the past month, and a -18.31% fall in the past quarter. The volatility ratio for the week is 3.46%, and the volatility levels for the past 30 days are at 4.38% for GFS. The simple moving average for the past 20 days is -4.73% for GFS’s stock, with a -16.17% simple moving average for the past 200 days.
Analysts’ Opinion of GFS
Many brokerage firms have already submitted their reports for GFS stocks, with Needham repeating the rating for GFS by listing it as a “Buy.” The predicted price for GFS in the upcoming period, according to Needham is $50 based on the research report published on February 12, 2025 of the current year 2025.
UBS, on the other hand, stated in their research note that they expect to see GFS reach a price target of $47. The rating they have provided for GFS stocks is “Neutral” according to the report published on November 20th, 2024.
Morgan Stanley gave a rating of “Equal-Weight” to GFS, setting the target price at $43 in the report published on October 28th of the previous year.
GFS Trading at -9.24% from the 50-Day Moving Average
After a stumble in the market that brought GFS to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -41.29% of loss for the given period.
Volatility was left at 4.38%, however, over the last 30 days, the volatility rate increased by 3.46%, as shares surge +0.31% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -9.61% lower at present.
During the last 5 trading sessions, GFS fell by -6.86%, which changed the moving average for the period of 200-days by -23.60% in comparison to the 20-day moving average, which settled at $38.22. In addition, GlobalFoundries Inc saw -15.20% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at GFS starting from EDELMAN MARTIN L, who proposed sale 4,866 shares at the price of $38.76 back on Oct 02 ’24. After this action, EDELMAN MARTIN L now owns shares of GlobalFoundries Inc, valued at $188,606 using the latest closing price.
EDELMAN MARTIN L, the Director of GlobalFoundries Inc, proposed sale 1,823 shares at $44.33 during a trade that took place back on Aug 07 ’24, which means that EDELMAN MARTIN L is holding shares at $80,814 based on the most recent closing price.
Stock Fundamentals for GFS
Current profitability levels for the company are sitting at:
- -0.03 for the present operating margin
- 0.24 for the gross margin
The net margin for GlobalFoundries Inc stands at -0.04. The total capital return value is set at -0.02. Equity return is now at value -2.42, with -1.52 for asset returns.
Based on GlobalFoundries Inc (GFS), the company’s capital structure generated 0.17 points at debt to capital in total, while cash flow to debt ratio is standing at 0.77.
Currently, EBITDA for the company is 1.4 billion with net debt to EBITDA at 0.03. When we switch over and look at the enterprise to sales, we see a ratio of 2.98. The receivables turnover for the company is 4.8for trailing twelve months and the total asset turnover is 0.4. The liquidity ratio also appears to be rather interesting for investors as it stands at 2.11.
Conclusion
To sum up, GlobalFoundries Inc (GFS) has seen a bad performance recently. Analysts have differing views on the stock, with some seeing it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
