​GlobalFoundries Inc. (NASDAQ:GFS) is one of the Best Up and Coming AI Stocks to Buy. GlobalFoundries Inc. (NASDAQ:GFS) has gained more than 13% since its fiscal Q4 2025 earnings were released on February 11. The company posted a quarterly revenue of $1.83 billion, which remained flat year-over-year, but topped estimates by $26.62 million. The EPS came in at $0.55 ahead of expectations.

​The revenue and profitability metrics for the quarter were above the top end of management’s guidance, driven by the shift towards higher-margin automotive, communications infrastructure, and data center end markets. Full-year revenue was $6.791 billion, up 1% compared to the prior year, while the full-year operating profit was $1.066 billion at a 15.7% operating margin, reflecting an increase of 210 basis points year-over-year.  Management expects next quarter’s revenue to be around $1.625 billion plus or minus $25 million, along with roughly 27% gross margins.

​That said, GlobalFoundries Inc. (NASDAQ:GFS) and Renesas Electronics, which is a Japanese chipmaker, announced a multi-billion-dollar manufacturing partnership on February 16.

​Management noted that the deal expands on the existing partnership and allows Renesas broader access to the company’s specialized chip technologies while boosting supply chain security. As a result of this partnership, Renesas will have access to the company’s portfolio, including FDX, BCD, and advanced CMOS technologies. These technologies will be used to power Renesas’ system-on-chips, microcontrollers, and power devices.

​Manufacturing, as per the partnership, is expected to start from GlobalFoundries’ US facilities in mid 2026 and is said to expand to Germany, Singapore, and China. Management noted that this deal positions the company as an international supplier of one of the world’s top automotive MCU makers.

​Tim Breen, CEO of GlobalFoundries, noted:

​“This partnership strengthens a proven relationship and underscores GF’s role as a trusted partner for essential semiconductor technologies. The automotive landscape is changing fast. Semiconductors are now the foundation of innovation, powering advanced driver assistance, battery management, and secure connectivity.”

​GlobalFoundries Inc. (NASDAQ:GFS) is a semiconductor foundry that provides a range of mainstream wafer fabrication services and technologies worldwide.

While we acknowledge the potential of GFS as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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