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GFSGLOBALFOUNDRIES Inc.
$47.95$26.3B
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  4. Financial Ratios

GLOBALFOUNDRIES Inc. (GFS) Financial Ratios

Latest Ratios: P/E Ratio 30.2x · EV/EBITDA 12.4x · ROE 7.8%. (2019–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

GFS Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Market Cap$26.3B$19.5B$23.7B$33.7B$29.7B$32.9B——
Enterprise Value$26.2B$19.4B$23.9B$34.1B$30.3B$32.4B——
P/E Ratio →30.1621.96—33.1120.57———
P/S Ratio3.872.873.524.563.674.99——
P/B Ratio2.231.632.193.022.994.09——
P/FCF26.0819.3121.63104.96—30.65——
P/OCF15.2011.2613.7815.8611.3411.57——

P/E links to full P/E history page with 30-year chart

GFS EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
EV / Revenue—2.853.534.613.734.91——
EV / EBITDA12.429.1817.6213.2010.8420.77——
EV / EBIT32.8821.28—28.7418.63———
EV / FCF—19.2121.75106.11—30.19——

GFS Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Gross Margin25.2%25.2%24.5%28.4%27.6%15.4%-14.7%-9.2%
Operating Margin11.7%11.7%-3.2%15.3%14.4%-0.9%-34.1%-28.0%
Net Profit Margin13.0%13.0%-3.9%13.8%17.9%-3.8%-27.8%-23.6%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
ROE7.8%7.8%-2.4%9.7%16.1%-3.3%-16.6%-15.2%
ROA5.2%5.2%-1.5%5.7%8.8%-1.8%-10.1%-9.5%
ROIC5.2%5.2%-1.4%7.7%9.7%-0.5%-12.2%-10.8%
ROCE5.6%5.6%-1.5%7.7%8.9%-0.5%-14.7%-13.4%

GFS Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Debt / Equity0.140.140.210.250.290.300.390.36
Debt / EBITDA0.810.811.711.071.021.573.243.08
Net Debt / Equity—-0.010.010.030.05-0.060.260.25
Net Debt / EBITDA-0.05-0.050.090.140.18-0.322.192.14
Debt / FCF—-0.100.121.14—-0.474.60—
Interest Coverage——-0.448.6513.88-0.68-7.98-4.10

Net cash position: cash ($1.8B) exceeds total debt ($1.7B)

GFS Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Current Ratio2.622.622.112.041.731.671.581.50
Quick Ratio1.951.951.571.561.331.321.091.35
Cash Ratio1.291.291.111.120.910.940.480.43
Asset Turnover—0.400.400.410.450.440.390.40
Inventory Turnover3.223.223.143.564.384.976.0518.03
Days Sales Outstanding—81.9775.3367.5563.3866.9673.41111.82

GFS Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Dividend Yield————————
Payout Ratio————————

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Earnings Yield3.3%4.6%—3.0%4.9%———
FCF Yield3.8%5.2%4.6%1.0%—3.3%——
Buyback Yield0.0%0.0%0.8%0.0%0.0%0.0%——
Total Shareholder Yield0.0%0.0%0.8%0.0%0.0%0.0%——
Shares Outstanding—$558M$553M$556M$552M$506M$532M$516M

Key Metrics

Growth RegimeMixed
ProfitabilityStable
Balance SheetHealthy
Cash FlowStable
Top Statement Risk

ICFR weakness and utilization risk

Margin Recovery Hinges on Mix

Gross margin improved to 28.3% in Q2 2026 from 24.2% a year earlier, per company filings, but remains below UMC's 29.0%, reflecting GFS's specialty-node focus and pricing dynamics.

The sequential improvement in gross margin from 24.2% in Q2 2025 to 28.3% in Q2 2026 suggests a favorable product mix shift, likely driven by automotive and industrial demand. However, operating margin at 9.7% in Q2 2026 is below the 13.9% seen in Q4 2025, indicating that operating leverage remains sensitive to utilization and fixed costs. Net margin of 9.3% in Q2 2026 is supported by lower tax rates, but the volatility in margins across quarters underscores the cyclicality inherent in the foundry business.

Capital Returns Remain Subdued

ROIC has hovered around 1.0-1.6% over the past year, per reported figures, well below the cost of capital, indicating that GFS is not yet generating economic profits despite improved margins.

ROIC of 1.1% in Q2 2026, while improved from negative levels in Q4 2024, remains extremely low, reflecting the heavy capital intensity of the business and the early stage of its profitability recovery. The gap between ROIC and the cost of capital suggests that the company is still in a value-creation transition, and investors should monitor whether the expansion in Malta and specialty node investments can lift returns over time. The low ROE of 1.4% in Q2 2026, compared to UMC's 21.0%, highlights the structural disadvantage GFS faces in capital efficiency relative to more mature peers.

Working Capital Cycle Lengthens

Cash conversion cycle extended to 157 days in Q2 2026 from 137 days in Q5 2025, per company data, driven by higher DSO and DIO, indicating increased working capital absorption.

The CCC of 157 days in Q2 2026 is elevated compared to the 21 days seen in Q2 2024, reflecting a significant build-up in inventory (DIO at 117 days) and slower collections (DSO at 70 days). This suggests that GFS is holding more inventory to support customer commitments, but it also ties up cash and may indicate demand softness. The sharp reduction in DPO from 157 days in Q2 2024 to 30 days in Q2 2026 indicates that GFS is paying suppliers faster, which could be a strategic move to secure supply but also reduces cash on hand.

Minimal Debt Provides Flexibility

Debt-to-equity improved to 0.14 in Q2 2026 from 0.27 in Q1 2024, per balance sheet data, with D/EBITDA at 3.49, indicating a conservative capital structure that supports expansion.

GFS's leverage is minimal, with total debt of $1.7B against equity of $11.8B, providing ample headroom for its aggressive capex plans. The D/EBITDA of 3.49 in Q2 2026 is higher than the 2.82 in Q4 2025, but still manageable given the low absolute debt levels. The absence of interest coverage data is notable, but the low leverage suggests that debt service is not a near-term concern. However, the company's high capital intensity means that future borrowing for expansion could increase leverage, and investors should monitor the trajectory of D/EBITDA as capex ramps.

Liquidity Buffer Remains Comfortable

Current ratio of 2.48 and quick ratio of 1.74 in Q2 2026, per reported figures, indicate a solid liquidity position, though inventory dependence is moderate.

The current ratio of 2.48 in Q2 2026, while slightly down from 2.62 in Q4 2025, remains above the 2.0 threshold, suggesting that GFS can cover short-term obligations comfortably. The quick ratio of 1.74, which excludes inventory, is still healthy, indicating that the company does not rely heavily on inventory to meet liabilities. However, the negative FCF margin of -0.3% in Q2 2026, driven by elevated capex, could pressure liquidity if the expansion phase continues without corresponding cash inflows. The cash balance of $1.1B provides a buffer, but the company's ability to fund its growth without additional debt or equity issuance will be key.

Misapplied ROIC in Capital-Intensive Foundry

ROIC is often misapplied to GFS because it understates returns during heavy capex phases, as seen in Q2 2026 when ROIC was 1.1% despite improving margins, per company data.

The most commonly misapplied ratio for GFS is ROIC, as it penalizes the company for its massive capital expenditures that are necessary to build future capacity. In Q2 2026, ROIC of 1.1% appears weak, but this is partly due to the fact that the invested capital base has grown significantly with the Malta expansion, while the revenue from that capacity has not yet ramped. A more appropriate metric would be ROIC on a lagged basis, or the incremental return on new capital employed, which would better capture the economics of the expansion. Investors should also consider the impact of government subsidies, which may lower the effective cost of capital and improve returns over time.

Download Financial Ratios Data

Includes 30+ ratios · 7 years · Updated daily

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GFS — Frequently Asked Questions

Quick answers to the most common questions about buying GFS stock.

What is GLOBALFOUNDRIES Inc.'s P/E ratio?

GLOBALFOUNDRIES Inc.'s current P/E ratio is 30.2x. The historical average is 25.2x. This places it at the 67th percentile of its historical range.

What is GLOBALFOUNDRIES Inc.'s EV/EBITDA?

GLOBALFOUNDRIES Inc.'s current EV/EBITDA is 12.4x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 14.3x.

What is GLOBALFOUNDRIES Inc.'s ROE?

GLOBALFOUNDRIES Inc.'s return on equity (ROE) is 7.8%. The historical average is -0.6%.

Is GFS stock overvalued?

Based on historical data, GLOBALFOUNDRIES Inc. is trading at a P/E of 30.2x. This is at the 67th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What are GLOBALFOUNDRIES Inc.'s profit margins?

GLOBALFOUNDRIES Inc. has 25.2% gross margin and 11.7% operating margin. Operating margin between 10-20% is typical for established companies.

How much debt does GLOBALFOUNDRIES Inc. have?

GLOBALFOUNDRIES Inc.'s Debt/EBITDA ratio is 0.8x, indicating low leverage. A ratio below 2x is generally considered financially healthy.