Investors Buy Large Volume of Call Options on GlobalFoundries (NASDAQ:GFS)

GlobalFoundries Inc. (NASDAQ:GFS) saw unusually large options trading on Tuesday. Traders acquired 16,469 call options on the stock. This represents an increase of approximately 127% compared to the average volume of 7,243 call options.

GlobalFoundries Trading Down 1.5%

Shares of NASDAQ:GFS opened at $58.49 on Thursday. The company has a debt-to-equity ratio of 0.13, a current ratio of 2.59 and a quick ratio of 1.87. GlobalFoundries has a 1 year low of $31.51 and a 1 year high of $92.55. The company has a market cap of $32.09 billion, a P/E ratio of 42.08, a PEG ratio of 2.10 and a beta of 1.76. The stock’s fifty day moving average price is $75.49 and its 200-day moving average price is $57.98.

GlobalFoundries (NASDAQ:GFS) last released its quarterly earnings data on Tuesday, May 5th. The company reported $0.40 EPS for the quarter, topping the consensus estimate of $0.35 by $0.05. GlobalFoundries had a return on equity of 6.85% and a net margin of 11.40%.The company had revenue of $1.63 billion during the quarter, compared to the consensus estimate of $1.63 billion. During the same period last year, the company earned $0.34 EPS. GlobalFoundries’s revenue for the quarter was up 3.1% on a year-over-year basis. GlobalFoundries has set its Q2 2026 guidance at 0.250-0.350 EPS. Sell-side analysts expect that GlobalFoundries will post 1.38 earnings per share for the current year.

GlobalFoundries Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Tuesday, July 14th. Stockholders of record on Wednesday, June 24th were issued a dividend of $0.12 per share. This represents a $0.48 dividend on an annualized basis and a dividend yield of 0.8%. The ex-dividend date of this dividend was Wednesday, June 24th. GlobalFoundries’s dividend payout ratio (DPR) is presently 34.53%.

Wall Street Analyst Weigh In

A number of equities analysts recently issued reports on the stock. Robert W. Baird set a $100.00 price target on shares of GlobalFoundries in a research note on Wednesday, May 6th. Jefferies Financial Group reaffirmed a “hold” rating and issued a $65.00 target price on shares of GlobalFoundries in a report on Wednesday, May 6th. Susquehanna upped their target price on shares of GlobalFoundries to $125.00 and gave the stock a “positive” rating in a research note on Monday, May 11th. Arete Research set a $95.00 price target on shares of GlobalFoundries in a report on Wednesday, June 10th. Finally, Loop Capital set a $80.00 price target on shares of GlobalFoundries in a research report on Monday, May 4th. One equities research analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating, nine have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, GlobalFoundries presently has an average rating of “Hold” and a consensus price target of $74.62.

Insider Buying and Selling

In related news, insider Michael James Hogan sold 2,800 shares of the firm’s stock in a transaction that occurred on Wednesday, May 27th. The stock was sold at an average price of $82.88, for a total transaction of $232,064.00. Following the completion of the transaction, the insider owned 9,645 shares of the company’s stock, valued at $799,377.60. This trade represents a 22.50% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Samak L. Azar sold 500 shares of GlobalFoundries stock in a transaction on Thursday, May 14th. The shares were sold at an average price of $74.82, for a total value of $37,410.00. Following the transaction, the insider owned 15,494 shares of the company’s stock, valued at $1,159,261.08. The trade was a 3.13% 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 ninety days, insiders have sold 18,080 shares of company stock valued at $1,349,680.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the stock. Bessemer Group Inc. boosted its holdings in GlobalFoundries by 8,275,141.2% in the first quarter. Bessemer Group Inc. now owns 2,813,582 shares of the company’s stock worth $125,147,000 after purchasing an additional 2,813,548 shares during the last quarter. HRT Financial LP bought a new position in shares of GlobalFoundries during the 4th quarter valued at $62,996,000. AQR Capital Management LLC lifted its holdings in shares of GlobalFoundries by 168.2% during the 3rd quarter. AQR Capital Management LLC now owns 2,607,792 shares of the company’s stock valued at $93,463,000 after buying an additional 1,635,338 shares during the period. Marshall Wace LLP boosted its stake in shares of GlobalFoundries by 126.0% in the 4th quarter. Marshall Wace LLP now owns 2,382,003 shares of the company’s stock worth $83,180,000 after buying an additional 1,328,129 shares during the last quarter. Finally, UBS Group AG boosted its stake in shares of GlobalFoundries by 136.7% in the 4th quarter. UBS Group AG now owns 1,809,232 shares of the company’s stock worth $63,178,000 after buying an additional 1,044,755 shares during the last quarter.

GlobalFoundries Company Profile

GlobalFoundries, Inc (NASDAQ: GFS) is a leading contract semiconductor manufacturer that provides wafer fabrication and related services to semiconductor companies and systems manufacturers. The company operates as a pure-play foundry, producing integrated circuits across a range of process technologies for customers in markets such as automotive, communications, consumer electronics, industrial, and aerospace. Its service offering spans process development, manufacturing, test and packaging support, and design enablement including process design kits (PDKs) and intellectual property (IP) libraries to help customers bring designs to production.

GlobalFoundries focuses on a portfolio of differentiated and specialty process nodes, offering technologies for radio-frequency (RF) and wireless, analog and mixed-signal, power management, embedded non-volatile memory, and silicon-on-insulator (SOI) process families.