GlobalFoundries Stock Gains As Morgan Stanley Expresses Optimism Over Long-Term Growth Prospects Post Q4 Results: Retail Turns Extremely Bullish

While the brokerage noted that GlobalFoundries' first-quarter (Q1) guidance was below expectations, it observed that the company's long-term growth outlook remains constructive.
The technician laying CPU in the motherboard socket.
The technician laying CPU in the motherboard socket. (Photo from GettyImages)
Profile Image
Rounak Jain·Stocktwits
Updated Jul 02, 2025 | 8:31 PM GMT-04
Share this article

Shares of GlobalFoundries Inc. (GFS) rose by more than 3% in morning trade on Wednesday as analysts at Morgan Stanley expressed optimism about the company’s long-term growth prospects.

According to TheFly, Morgan Stanley analysts hiked their price target to $42 from $40, reiterating their ‘Equal Weight’ rating on the stock. The GlobalFoundries stock was trading near the $42 level at the time of writing.

While the brokerage noted that GlobalFoundries' first-quarter (Q1) guidance was below expectations, it observed that the company's long-term growth outlook remains constructive.

GlobalFoundries posted earnings per share (EPS) of $0.46 during the fourth-quarter (Q4), ahead of Wall Street’s estimates of $0.45, according to Stocktwits data.

It guided for revenue between $1.55 billion to $1.60 billion, below a consensus estimate of $1.66 billion for the first quarter, according to FinChat data. 

The company’s data center and automotive segments drove its topline during the quarter, which grew 18% and 30% year-on-year, respectively.

Analysts at Baird also underscored that GFS remains well-positioned for a rebound after a tough first quarter. 

The brokerage has an ‘Outperform’ rating on the GFS stock, with a price target of $50. This implies an upside of over 20% from current levels.

Retail sentiment on Stocktwits around the GFS stock was in the ‘extremely bullish’ (81/100) territory, while message volume was at the ‘extremely high’ levels.

GFS retail sentiment.jpg
GFS sentiment and message volume February 12, 2025, as of 10 am ET | Source: Stocktwits

GlobalFoundries’ stock declined nearly 4.6% over the past six months. However, its one-year performance is worse, with a fall of over 26%.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

Subscribe to The Daily Rip
All Newsletters
Get the daily email that keeps you tuned in and makes markets fun again.

Also See: Intel Stock Surges On JD Vance's Speech On US AI Chips, Baird Speculates On TSMC Playing A Supporting Role: Retail Turns Bullish

Read about our editorial guidelines and ethics policy

Advertisement. Remove ads.