GlobalFoundries (GFS) just beat Q4 estimates, propelling the contract GFS stock into a new buy zone. The breakout comes on the heels of the chipmaker forging a long-term agreement with General Motors (GM) and an acquisition to expand its IoT footprint.
The GM news and yet another explosive earnings report earn GlobalFoundries a featured spot on the IBD Breakout Stocks Index.
Highlighting the resurgence in tech stocks after last year’s bear market, ON Semiconductor (ON), Broadcom (AVGO), Cirrus Logic (CRUS), Super Micro Computer (SMCI) and Axcelis Technologies (ACLS) join GFS stock on the index.
While GlobalFoundries did not join fellow semiconductor sector stocks Lattice Semiconductor (LSCC), Mobileye (MBLY) and AVGO on the latest list of new buys by the best mutual funds, leading money managers have shown a keen and rising interest in the chipmaker.
GlobalFoundries earns an A+ Accumulation/Distribution Rating, pointing to heavy buying by institutional investors over the last 13 weeks. The number of funds with a position in the company has increased for four straight quarters, jumping from 323 funds in Q1 to 452 in Q4.
Plus, 41 funds with an A+ rating from IBD own GFS stock.
Who Joins GFS Stock On The IBD Breakout Stocks Index?
GlobalFoundries, GM Forge ‘First-Of-Kind’ Partnership
As one of the world’s leading semiconductor manufacturers. GlobalFoundries delivers Internet of Things (IoT) and other feature-rich processes for high-growth markets. The semiconductor powerhouse offers a mix of design, development and fabrication services to clients spanning the U.S., Europe and Asia.
Formerly the foundry division of Advanced Micro Devices (AMD), GlobalFoundries was spun off in 2009 and had its IPO in October 2021.
On Feb. 9, GlobalFoundries and GM jointly announced a “first-of-its-kind” agreement. Under the deal, General Motors enters a long-term agreement to secure a capacity corridor in GlobalFoundries’ New York facilities for GM’s U.S. supply chain.
The arrangement brings a critical process to U.S. shores. GlobalFoundries will manufacture GM’s key…