NEW YORK, January 31, 2026, 20:02 EST — Market closed.
- GlobalFoundries shares dropped on Friday, pushing the chip sector’s retreat further into the weekend.
- The wider semiconductor sector slipped as investors digested new signals from the Fed and inflation data.
- Attention shifts to GlobalFoundries as it prepares to release its results and guidance on Feb. 11.
Shares of GlobalFoundries (GFS) dropped 5.1% on Friday, closing at $42.20 following a session that saw prices swing between $44.05 and $41.84.
The drop echoed a broader selloff in semiconductor stocks. The iShares Semiconductor ETF (SOXX), which tracks a group of chipmakers, tumbled 4.1%. Shares of Taiwan Semiconductor Manufacturing listed in the U.S. slid 2.7%, and Intel fell 4.4%.
Wall Street’s key indexes closed down Friday after investors absorbed President Donald Trump’s choice of former Fed governor Kevin Warsh to replace Jerome Powell, plus a stronger inflation report. “Markets are calibrating to Trump’s pick of Kevin Warsh,” said Citizens Wealth CIO Michael Hans. Edward Jones strategist Angelo Kourkafas highlighted “mixed tech earnings and lingering inflation pressure.” (Reuters)
GlobalFoundries operates as a chip foundry, producing semiconductors for clients instead of marketing its own branded processors. Its stock tends to track the wider chip sector, particularly when interest rates or growth forecasts shift.
The company plans to release its fourth-quarter and full-year 2025 financial results on February 11, with a conference call scheduled for 8:30 a.m. ET. It maintains manufacturing facilities across the U.S., Europe, and Asia, serving sectors like automotive, mobile devices, and communications infrastructure. (GlobeNewswire)
This report is crucial as traders are fixated on the outlook language at the moment. Investors want to catch any hints on demand trends, factory utilization, and whether customers are pulling back on orders once more.
Deal news came through on January 14, when GlobalFoundries announced it had inked a definitive agreement to buy Synopsys’ ARC Processor IP Solutions business. “IP” stands for intellectual property, the licensed components used in chip design. The company projects the deal will close in the second half of 2026, pending regulatory clearance. CEO Tim Breen commented, “By combining Synopsys’ ARC IP and MIPS technologies with GF’s advanced manufacturing capabilities, we are lowering the barrier for customer adoption.” (GlobalFoundries)
The stock pulled back after hitting a new 52-week peak earlier this week. According to a MarketBeat report, shares climbed to $48.57 on Tuesday before slipping lower. (MarketBeat)
The setup works both ways. If guidance comes in cautious or bond yields keep rising, pushing rate concerns higher, chip stocks could quickly gap down. GlobalFoundries lacks a new catalyst until its earnings report.
Investors will be keeping an eye on whether Friday’s chip selloff holds steady or spills over when trading picks up again on Monday. The next major event for GFS is its February 11 earnings report, along with a Q&A session with analysts.
