Analyst Ratings February 12, 2026

Wedbush Lifts GlobalFoundries Price Target to $50, Cites Strength in Mature Foundry and AI-Adjacent Markets

Analyst update reflects improving conditions in mature foundry segment and growing AI-related demand in power, networking, photonics and satellites

By Leila Farooq GFS
Wedbush Lifts GlobalFoundries Price Target to $50, Cites Strength in Mature Foundry and AI-Adjacent Markets
GFS

Wedbush raised its price target for GlobalFoundries Inc. (GFS) to $50 from $40 while keeping a Neutral rating, pointing to better-than-expected conditions in the mature foundry market and expanding opportunities tied to AI-related power and networking markets. The chipmaker recently posted Q4 2025 results that exceeded expectations, and other brokers including Baird have also raised targets on the stock.

Key Points

  • Wedbush raised its price target on GlobalFoundries to $50 from $40 but maintained a Neutral rating, citing improved mature foundry conditions and growth potential in AI-related markets.
  • GlobalFoundries shares traded at $48.74, up roughly 19% over the past week and near a 52-week high of $48.88; the company reported Q4 2025 EPS of $0.55 and revenue of $1.83 billion, both ahead of expectations.
  • Baird also increased its price target to $60 from $40 with an Outperform rating, pointing to silicon photonics, satellite, and optical networking as key revenue drivers; analysts project full-year EPS of $1.65 and InvestingPro data shows a current ratio of 2.62 and more cash than debt.

Wedbush on Thursday increased its 12-month price target for GlobalFoundries Inc. (NASDAQ:GFS) to $50.00 from $40.00, while leaving its formal rating at Neutral. The move comes as GlobalFoundries shares trade near their 52-week peak, with the stock quoted at $48.74, having climbed roughly 19% over the last week toward a 52-week high of $48.88.

The firm attributed the revision to two principal developments. Wedbush analyst Matt Bryson pointed to a recent improvement in standard mature foundry conditions and to the scale of potential growth in AI-related markets such as power and networking. Bryson cited technology transitions in datacenter AI along with markets tied to silicon photonics, satellites, and so-called physical AI as areas that could meaningfully benefit GlobalFoundries.


According to Wedbush, those technology transitions could produce both cyclical and longer-term secular tailwinds for GlobalFoundries and for the mature foundry segment more broadly. The analyst view marks a reassessment after the firm had downgraded GlobalFoundries at the end of the prior quarter, reflecting a recognition that market conditions examined subsequently appear more constructive than previously assessed.

Market data referenced alongside the analyst update underscores the company’s recent operational momentum. InvestingPro data cited by the research note shows GlobalFoundries with a robust current ratio of 2.62 and a balance sheet that contains more cash than debt. Street consensus also indicates an expected return to profitability for the year, with analysts forecasting earnings per share of $1.65.

Those fundamentals were reinforced by the company’s fourth-quarter 2025 results, which outpaced forecasts. GlobalFoundries reported EPS of $0.55 for the quarter, beating a consensus estimate of $0.48 by 14.58%. Quarterly revenue was $1.83 billion, slightly above the anticipated $1.8 billion.

Other broker activity mirrors some of Wedbush’s optimism on select end markets. Baird raised its price target on GlobalFoundries to $60 from $40 and retained an Outperform rating. In its update Baird highlighted silicon photonics, satellite applications, and optical networking as meaningful revenue drivers for the current year and the medium term, and it pointed to continuing momentum in automotive where GlobalFoundries is reported to be gaining share and content.


This combination of analyst revisions, recent quarterly outperformance, and cited technology transitions frames the case being made by some sell-side firms: improving mature-foundry conditions plus growth tied to AI-adjacent segments could support both cyclical recovery and longer-term expansion for GlobalFoundries. At the same time, the maintained Neutral rating from Wedbush reflects a cautious stance on valuation and near-term upside relative to the stock’s price.

Risks

  • Improvement in mature foundry conditions is described as recent and could change - sector dynamics may revert or remain uneven, affecting cyclical recovery prospects.
  • Upside cited from AI-related segments is prospective - growth in datacenter AI, silicon photonics, satellites and physical AI is identified as potential drivers but is not guaranteed to materialize as expected.
  • Valuation considerations remain - Wedbush’s retention of a Neutral rating signals that, despite fundamental improvements and recent earnings beats, the firm sees limits to near-term upside from current share levels.

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