GlobalFoundries Shares Jumped over 4% Premarket on Bullish Outlook
Tiger Newspress2022-02-09
GlobalFoundries Shares Jumped over 4% in Premarket Trading after Giving Bullish Outlook on Strong Chip Demand.
GlobalFoundries Inc., the biggest U.S.-based provider of outsourced semiconductor manufacturing, gave a bullish forecast for the current quarter, indicating the rush to get chips continues amid industrywide shortages.
Fourth-quarter revenue rose 74% to $1.85 billion. Profit was 18 cents a share, excluding certain items. Analysts, on average, projected $1.81 billion and 9 cents.
Sales will be $1.88 billion to $1.92 billion in the period ending in March, the Malta, New York-based company said in a statement. Profit, excluding certain items, will be 21 to 27 cents a share. Those predictions compare with analysts’ average estimates of $1.84 billion and 14 cents a share.
Chief Executive Officer Tom Caulfield and his counterparts at other chipmakers are trying to convert the demand spike into long-term commitments from customers with the aim of stabilizing their growth and profitability. They also hope to increase capacity by using proposed government incentives to build facilities in the U.S. and Europe.
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