DBS analyst Jim Hin Kwong Au has maintained their bullish stance on GFS stock, giving a Buy rating on May 7.
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Jim Hin Kwong Au has given his Buy rating due to a combination of factors including GlobalFoundries Inc’s strategic focus on differentiated semiconductor technologies and its robust design-win momentum. The company is leveraging its advanced technologies like 22FDX® and silicon photonics to position itself in high-growth sectors such as automotive, IoT, and data centers, which are expected to drive significant revenue growth.
Additionally, GlobalFoundries’ extensive global manufacturing footprint enhances its market positioning by providing regional scale and supply chain resilience. The company’s strategic investments, supported by government initiatives such as the CHIPS Act, are expected to fuel long-term growth. Despite some risks related to oversupply and demand volatility, the company’s strong customer relationships and strategic partnerships, particularly in automotive electronics and 5G technologies, underpin the positive outlook for its stock.
Hin Kwong Au covers the Technology sector, focusing on stocks such as BYD Electronic (International) Co, Sunny Optical Technology (Group) Co, and Apple. According to TipRanks, Hin Kwong Au has an average return of 10.0% and a 57.80% success rate on recommended stocks.
In another report released on May 7, Evercore ISI also reiterated a Buy rating on the stock with a $43.00 price target.