Soitec posts Q1 sales in line with expectations

Written by Emily J. Thompson, Senior Investment Analyst

GFS-4.79%

Source: Reuters

Updated: Jul 22 2025

0mins

Source: Reuters

Sales Performance: Soitec reported a 16% decline in first-quarter sales at constant exchange rates, with revenue falling to 92 million euros due to high customer inventory and a weak automotive market.
Future Outlook: The company anticipates a 50% organic revenue growth in the second quarter compared to the previous quarter, despite current challenges.

GFS

$42.85+Infinity%1D

Analyst Views on GFS

Wall Street analysts forecast GFS stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for GFS is 38.88 USD with a low forecast of 35.00 USD and a high forecast of 45.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

9 Analyst Rating

2 Buy

5 Hold

2 Sell

Hold

Current: 45.005

Low

35.00

Averages

38.88

High

45.00

Current: 45.005

Low

35.00

Averages

38.88

High

45.00

Wedbush

Outperform -> Neutral

downgrade

$42 -> $40

2025-12-31

Reason

Wedbush

Price Target

$42 -> $40

AI Analysis

2025-12-31

downgrade

Outperform -> Neutral

Reason

As previously reported, Wedbush downgraded GlobalFoundries to Neutral from Outperform with a price target of $40, down from $42. While the firm believes that GlobalFoundries has a path to a model with stronger revenues, improved utilization, and better margins on improved end market fundamentals and a shift towards local supply chains, it also believes recent developments have elongated the timeframe around when those catalysts might play out, the analyst tells investors. Recent checks in Taiwan suggest that industrial and auto demand remains relatively weak, with no anticipation of any near-term recovery, the analyst added.

Wedbush

Outperform -> Neutral

downgrade

$42 -> $40

2025-12-31

Reason

Wedbush

Price Target

$42 -> $40

2025-12-31

downgrade

Outperform -> Neutral

Reason

Wedbush downgraded GlobalFoundries to Neutral from Outperform with a price target of $40, down from $42.

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BofA

Underperform

maintain

$37 -> $41

2025-12-16

Reason

BofA

Price Target

$37 -> $41

2025-12-16

maintain

Underperform

Reason

BofA raised the firm's price target on GlobalFoundries to $41 from $37 and keeps an Underperform rating on the shares. The firm is updating its price targets for U.S. Semiconductor stocks under its coverage, the analyst tells investors. BofA views 2026 as a midpoint for an 8 to 10 year journey upgrading traditional IT infrastructure for faster, AI workloads. While stocks may remain choppy amid greater scrutiny of AI returns and hyperscaler cash flows, this should be offset by faster large language model builders and AI factories, the firm adds.

BofA

Underperform

maintain

$33 -> $37

2025-12-04

Reason

BofA

Price Target

$33 -> $37

2025-12-04

maintain

Underperform

Reason

BofA raised the firm's price target on GlobalFoundries to $37 from $33 and keeps an Underperform rating on the shares. After having listened to the company's webinar on its participation in the emerging physical AI theme, the firm trims estimates for a shallower recovery slope, but raised its target as it upped its multiple given the company's increasing AI focus.

About GFS

GlobalFoundries Inc. is a semiconductor manufacturer. The Company offers a range of mainstream wafer fabrication services and technologies. It manufactures a range of semiconductor devices, including microprocessors, mobile application processors, baseband processors, network processors, radio frequency modems, microcontrollers, and power management units. Its specialized foundry manufacturing processes include a library consisting of qualified circuit-building block designs (known as IP titles or IP blocks), and advanced transistor and device technology. The Company's differentiated technology platforms include radio frequency (RF) silicon-on-insulator (SOI), Fin Field-Effect Transistor (FinFET), FDX, Complementary Metal-Oxide Semiconductor (CMOS), Silicon Germanium (SiGe), Gallium Nitride (GaN), Bipolar-CMOS-DMOS (BCD), and Silicon Photonics (SiPh).

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.