Zacks Investment Research·1d ago
GFS Augments Photonics Portfolio: Will SMART Partnership Boost Growth?GlobalFoundries is expanding its photonics portfolio with SMART Photonics as AI-driven optical networking demand accelerates across data centers.
GFS is executing a strategic expansion, with gross margin improving to 28.3% in Q2 2026 from 24.2% a year earlier, driven by automotive strength and a favorable mix. However, the company faces a tepid demand environment (revenue growth of only 0.6% YoY) and a ...
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Revenue rebounded 8.4% sequentially to $1.8B in Q2 2026, but YoY growth was only 0.6%, while gross margin expanded to 28.3% from 24.2% a year earlier, though operating margin remains cyclical at 9.7%.
GlobalFoundries is a key player in producing essential semiconductors that power global technology and connectivity.
Formed as a collaboration between Mubadala and AMD, GlobalFoundries is positioned to meet rising global semiconductor demand.
Partnerships with Sivers Semiconductors and the U.S. Department of Energy highlight GlobalFoundries' role in AI-driven chip design and silicon photonics.
Trailing total returns as of 9/23/2026, which may include dividends or other distributions. Benchmark is S&P 500 (^GSPC).
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Recent results and news deserve attention only when they alter the forward view.
| Quarter | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|
Q3 2026Latest Aug 5, 2026 | $0.46+6.3% vs $0.43 | $1.8B+1.2% vs $1.8B |
Q2 2026 May 5, 2026 | $0.40+13.9% vs $0.35 | $1.6B+0.3% vs $1.6B |
Q1 2026 Feb 11, 2026 | $0.55+15.9% vs $0.47 | $1.8B+1.5% vs $1.8B |
Q4 2025 Nov 12, 2025 | $0.41+7.0% vs $0.38 | $1.7B+0.7% vs $1.7B |
GlobalFoundries is expanding its photonics portfolio with SMART Photonics as AI-driven optical networking demand accelerates across data centers.
GFS is expanding gross margins through a richer revenue mix, manufacturing gains and higher utilization, while future gains hinge on execution.
GlobalFoundries Inc. (NASDAQ: GFS - Get Free Report) insider Samak Azar sold 335 shares of the stock in a transaction dated Thursday, September 17th. The shares were sold at an average price of $44.87, for a total value of $15,031.45. Following the transaction, the insider directly owned 9,464 shares in the company, valued at approximately $424,649.68.
GlobalFoundries is boosting SiGe capacity for MRVL as AI and cloud data centers drive demand for high-speed optical connectivity.
Benchmark GFS against direct peers instead of judging its metrics in isolation.
Key metrics vs top competitors for GLOBALFOUNDRIES Inc. (GFS)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $47.95 | $26.31B | 30.16 | 0.61% | 13.03% | 7.76% | — | |
| $25.77 | $64.28B | 48.92 | 2.26% | 33.29% | 20.98% | — | |
| $67.92 | $2.38B | 153.81 | 6.03% | 8.3% | 9.31% | — | |
| $123.86 | $624.75B | -2102.89 | -0.47% | -19.79% | -9.58% | — | |
| $271.41 | $247.86B | 49.80 | 13.05% | 31.11% | 35.77% | — | |
| $73.60 | $28.64B | 253.79 | -15.35% | 10.17% | 8.35% | — |
GLOBALFOUNDRIES Inc. (GFS) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
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GLOBALFOUNDRIES Inc. (GFS) stock FAQ — growth, dividends, profitability & financials explained
GLOBALFOUNDRIES Inc. (GFS) reported $6.94B in revenue for fiscal year 2025. This represents a 19% increase from $5.81B in 2019.
GLOBALFOUNDRIES Inc. (GFS) grew revenue by 0.6% over the past year. Growth has been modest.
Yes, GLOBALFOUNDRIES Inc. (GFS) is profitable, generating $716.0M in net income for fiscal year 2025 (13.0% net margin).
GLOBALFOUNDRIES Inc. (GFS) has a return on equity (ROE) of 7.8%. This is below average, suggesting room for improvement.
GLOBALFOUNDRIES Inc. (GFS) generated $796.0M in free cash flow for fiscal year 2025. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.
