GFS PE Ratio & Valuation,Is GFS Overvalued

GFS Relative Valuation

GFS's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, GFS is overvalued; if below, it's undervalued.

Historical Valuation

GlobalFoundries Inc (GFS) is now in the Fair zone, suggesting that its current forward PE ratio of 21.00 is considered Fairly compared with the five-year average of 27.32. The fair price of GlobalFoundries Inc (GFS) is between 39.98 to 72.69 according to relative valuation methord.

Relative Value

Fair Zone

39.98-72.69

Current Price：40.60

Fair

21.00

7.72

EV/EBITDA

GlobalFoundries Inc. (GFS) has a current EV/EBITDA of 7.72. The 5-year average EV/EBITDA is 9.91. The thresholds are as follows: Strongly Undervalued below 5.84, Undervalued between 5.84 and 7.87, Fairly Valued between 11.94 and 7.87, Overvalued between 11.94 and 13.98, and Strongly Overvalued above 13.98. The current Forward EV/EBITDA of 7.72 falls within the Undervalued range.

16.05

EV/EBIT

GlobalFoundries Inc. (GFS) has a current EV/EBIT of 16.05. The 5-year average EV/EBIT is 24.24. The thresholds are as follows: Strongly Undervalued below 7.78, Undervalued between 7.78 and 16.01, Fairly Valued between 32.47 and 16.01, Overvalued between 32.47 and 40.70, and Strongly Overvalued above 40.70. The current Forward EV/EBIT of 16.05 falls within the Historic Trend Line -Fairly Valued range.

2.93

GlobalFoundries Inc. (GFS) has a current PS of 2.93. The 5-year average PS is 3.76. The thresholds are as follows: Strongly Undervalued below 2.41, Undervalued between 2.41 and 3.08, Fairly Valued between 4.43 and 3.08, Overvalued between 4.43 and 5.10, and Strongly Overvalued above 5.10. The current Forward PS of 2.93 falls within the Undervalued range.

11.31

P/OCF

GlobalFoundries Inc. (GFS) has a current P/OCF of 11.31. The 5-year average P/OCF is 11.34. The thresholds are as follows: Strongly Undervalued below 6.59, Undervalued between 6.59 and 8.97, Fairly Valued between 13.72 and 8.97, Overvalued between 13.72 and 16.10, and Strongly Overvalued above 16.10. The current Forward P/OCF of 11.31 falls within the Historic Trend Line -Fairly Valued range.

17.65

P/FCF

GlobalFoundries Inc. (GFS) has a current P/FCF of 17.65. The 5-year average P/FCF is 82.81. The thresholds are as follows: Strongly Undervalued below -229.32, Undervalued between -229.32 and -73.26, Fairly Valued between 238.87 and -73.26, Overvalued between 238.87 and 394.94, and Strongly Overvalued above 394.94. The current Forward P/FCF of 17.65 falls within the Historic Trend Line -Fairly Valued range.

GlobalFoundries Inc (GFS) has a current Price-to-Book (P/B) ratio of 1.75. Compared to its 3-year average P/B ratio of 2.46 , the current P/B ratio is approximately -28.76% higher. Relative to its 5-year average P/B ratio of 2.82, the current P/B ratio is about -38.00% higher. GlobalFoundries Inc (GFS) has a Forward Free Cash Flow (FCF) yield of approximately 5.69%. Compared to its 3-year average FCF yield of 2.26%, the current FCF yield is approximately 151.69% lower. Relative to its 5-year average FCF yield of 2.57% , the current FCF yield is about 121.61% lower.

1.75

P/B

Median3y

2.46

Median5y

2.82

5.69

FCF Yield

Median3y

2.26

Median5y

2.57

Competitors Valuation Multiple

The average P/S ratio for GFS's competitors is 5.28, providing a benchmark for relative valuation. GlobalFoundries Inc Corp (GFS) exhibits a P/S ratio of 2.93, which is -44.5% above the industry average. Given its robust revenue growth of -2.93%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of GFS decreased by 2.10% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 10.24 to 14.75.

The secondary factor is the Revenue Growth, contributed -2.93%to the performance.

Overall, the performance of GFS in the past 1 year is driven by Margin Expansion. Which is more sustainable.

-2.93%

1.74B → 1.69B

Revenue Growth

44.04%

10.24 → 14.75

Margin Expansion

-43.21%

-817.08 → -464.02

P/E Change

-2.10%

41.47 → 40.60

Mkt Cap Growth

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Frequently Asked Questions

Is GlobalFoundries Inc (GFS) currently overvalued or undervalued?

What is GlobalFoundries Inc (GFS) fair value?

GFS's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of GlobalFoundries Inc (GFS) is between 39.98 to 72.69 according to relative valuation methord.

How does GFS's valuation metrics compare to the industry average?

The average P/S ratio for GFS's competitors is 5.28, providing a benchmark for relative valuation. GlobalFoundries Inc Corp (GFS) exhibits a P/S ratio of 2.93, which is -44.50% above the industry average. Given its robust revenue growth of -2.93%, this premium appears unsustainable.

What is the current P/B ratio for GlobalFoundries Inc (GFS) as of Jan 09 2026?

As of Jan 09 2026, GlobalFoundries Inc (GFS) has a P/B ratio of 1.75. This indicates that the market values GFS at 1.75 times its book value.

What is the current FCF Yield for GlobalFoundries Inc (GFS) as of Jan 09 2026?

As of Jan 09 2026, GlobalFoundries Inc (GFS) has a FCF Yield of 5.69%. This means that for every dollar of GlobalFoundries Inc’s market capitalization, the company generates 5.69 cents in free cash flow.

What is the current Forward P/E ratio for GlobalFoundries Inc (GFS) as of Jan 09 2026?

As of Jan 09 2026, GlobalFoundries Inc (GFS) has a Forward P/E ratio of 21.00. This means the market is willing to pay $21.00 for every dollar of GlobalFoundries Inc’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for GlobalFoundries Inc (GFS) as of Jan 09 2026?

As of Jan 09 2026, GlobalFoundries Inc (GFS) has a Forward P/S ratio of 2.93. This means the market is valuing GFS at $2.93 for every dollar of expected revenue over the next 12 months.

GFS Valuation