GlobalFoundries (GFS) met higher buy-side expectations in Q2, with stronger-than-expected growth in Communication Infrastructure, Datacenter and intellectual property, Wedbush Securities said in a Thursday note.

The investment firm said that while GlobalFoundries had set a low bar for Q2, the results at least met higher buy-side targets, with revenue and non-IFRS gross margins above the high end of the company's prior forecast and adjusted earnings at the high end.

Wedbush said faster growth in higher-margin products, including Communication Infrastructure, Datacenter and intellectual property, along with improving pricing discussions with customers for 2027, should continue to benefit GlobalFoundries' product mix.

The analysts raised their 2026 adjusted earnings estimate to $1.93 per share from $1.82 and increased their 2026 revenue estimate to $7.28 billion from $7.17 billion.

Wedbush reiterated its neutral rating and a $72 price target on the stock.

Shares of GlobalFoundries were up 2.3% in Thursday afternoon trading.

Price: 50.63, Change: +1.17, Percent Change: +2.37