GLOBALFOUNDRIES Inc. and Skyworks Solutions, Inc. are two influential players in the semiconductor industry, each driving innovation in integrated circuits and wireless communication components. While GLOBALFOUNDRIES focuses on wafer fabrication and diverse semiconductor devices, Skyworks excels in analog and mixed-signal products for connectivity markets. This comparison explores their market positions and innovation strategies to help you decide which company offers the most compelling investment opportunity today.
Table of contents
Companies Overview
I will begin the comparison between GLOBALFOUNDRIES Inc. and Skyworks Solutions, Inc. by providing an overview of these two companies and their main differences.
GLOBALFOUNDRIES Inc. Overview
GLOBALFOUNDRIES Inc. operates as a semiconductor foundry worldwide, manufacturing integrated circuits that enable various electronic devices. Its product range includes microprocessors, mobile application processors, network processors, RF modems, microcontrollers, and power management units. Founded in 2009 and based in Malta, NY, GFS serves the broad semiconductor market with wafer fabrication services.
Skyworks Solutions, Inc. Overview
Skyworks Solutions, Inc. designs, develops, manufactures, and markets proprietary semiconductor products globally. Its portfolio includes amplifiers, antenna tuners, filters, front-end modules, and voltage regulators used across aerospace, automotive, broadband, and consumer electronics markets. Incorporated in 1962 and headquartered in Irvine, CA, SWKS targets diversified applications with a strong focus on wireless and analog system solutions.
Key similarities and differences
Both GFS and SWKS operate in the semiconductor industry in the US, serving global markets. GFS primarily focuses on wafer fabrication and foundry services producing integrated circuits, while SWKS specializes in designing and marketing proprietary semiconductor components for diverse end-markets. GFS employs 13K people with a market cap of $23B, whereas SWKS has 10.1K employees and a market cap of $8.8B, highlighting a scale difference in operations.
Income Statement Comparison
The table below compares key income statement metrics for GLOBALFOUNDRIES Inc. and Skyworks Solutions, Inc. based on their most recent fiscal year data.
| Metric | GLOBALFOUNDRIES Inc. (GFS) | Skyworks Solutions, Inc. (SWKS) |
|---|---|---|
| Market Cap | 23B | 8.8B |
| Revenue | 6.75B | 4.18B |
| EBITDA | 1.50B | 1.12B |
| EBIT | -64M | 667M |
| Net Income | -265M | 596M |
| EPS | -0.48 | 3.72 |
| Fiscal Year | 2024 | 2024 |
Income Statement Interpretations
GLOBALFOUNDRIES Inc.
GLOBALFOUNDRIES (GFS) showed a 39.15% revenue growth overall from 2020 to 2024 but faced an 8.69% revenue decline in the latest year, with net income dropping 128.45% in margin terms. Gross margin remained favorable at 24.46%, yet EBIT and net margins turned negative in 2024. The recent year saw a sharp decline in profitability, signaling margin pressures and shrinking earnings.
Skyworks Solutions, Inc.
Skyworks Solutions (SWKS) experienced a 20.01% revenue decline over the 2021–2025 period, with net income and margin shrinking by over 60%. Despite this, it maintained strong gross (41.16%) and EBIT (13.55%) margins through 2025. However, the latest year showed a 2.18% revenue drop and an 18.17% decline in net margin, indicating a weakening growth trajectory.
Which one has the stronger fundamentals?
Both companies recorded unfavorable overall income statement evaluations, with GFS showing stronger revenue and net income growth over the medium term but suffering severe recent-year profitability downturns. SWKS maintains higher margins but faces persistent long-term revenue and profit declines. Neither currently demonstrates consistently robust fundamentals amid recent financial challenges.
Financial Ratios Comparison
The table below presents a side-by-side comparison of key financial ratios for GLOBALFOUNDRIES Inc. (GFS) and Skyworks Solutions, Inc. (SWKS) based on their most recent fiscal year data.
| Ratios | GLOBALFOUNDRIES Inc. (2024) | Skyworks Solutions, Inc. (2025) |
|---|---|---|
| ROE | -2.46% | 8.29% |
| ROIC | -1.47% | 6.35% |
| P/E | -89.54 | 24.95 |
| P/B | 2.20 | 2.07 |
| Current Ratio | 2.11 | 2.33 |
| Quick Ratio | 1.57 | 1.76 |
| D/E (Debt-to-Equity) | 0.22 | 0.21 |
| Debt-to-Assets | 13.81% | 15.20% |
| Interest Coverage | -1.48 | 18.45 |
| Asset Turnover | 0.40 | 0.52 |
| Fixed Asset Turnover | 0.82 | 2.95 |
| Payout ratio | 0 | 90.67% |
| Dividend yield | 0 | 3.63% |
Interpretation of the Ratios
GLOBALFOUNDRIES Inc.
GLOBALFOUNDRIES shows several unfavorable ratios including negative net margin (-3.93%) and return on equity (-2.46%), indicating profitability and efficiency challenges. However, liquidity ratios like current ratio (2.11) and debt metrics are favorable, suggesting solid short-term financial health. The company does not pay dividends, reflecting possible reinvestment strategy or growth focus.
Skyworks Solutions, Inc.
Skyworks Solutions displays mostly favorable ratios, including a strong net margin of 11.67% and robust interest coverage at 20.44, highlighting solid profitability and debt service capacity. Some ratios such as ROE (8.29%) and ROIC (6.35%) are neutral or slightly unfavorable, indicating room for improvement. The company pays a dividend with a 3.63% yield, supported by consistent cash flow.
Which one has the best ratios?
Skyworks Solutions presents a stronger overall ratio profile with 50% favorable metrics and positive dividend yield, reflecting better profitability and financial stability. GLOBALFOUNDRIES, with a greater proportion of unfavorable ratios (57.14%), faces profitability and efficiency concerns despite solid liquidity. Thus, Skyworks holds a slightly more favorable ratio evaluation.
Strategic Positioning
This section compares the strategic positioning of GLOBALFOUNDRIES Inc. and Skyworks Solutions, Inc., focusing on market position, key segments, and exposure to technological disruption:
GLOBALFOUNDRIES Inc.
- Large semiconductor foundry with competitive global pressure in integrated circuits manufacturing.
- Key segments include wafer fabrication and engineering/pre-fabrication services driving revenue.
- Technology disruption risks in semiconductor manufacturing and evolving chip fabrication processes.
Skyworks Solutions, Inc.
- Smaller semiconductor firm facing competitive pressure in diverse proprietary product markets.
- Broad product portfolio serving aerospace, automotive, broadband, and consumer electronics markets.
- Exposure to technological changes across semiconductor components and wireless analog system innovations.
GLOBALFOUNDRIES Inc. vs Skyworks Solutions, Inc. Positioning
GLOBALFOUNDRIES has a concentrated focus on wafer fabrication and related services, while Skyworks maintains a diversified product portfolio across multiple end markets. This difference presents trade-offs between specialization advantages and broader market exposure.
Which has the best competitive advantage?
Both companies are currently shedding value with ROIC below WACC; however, GLOBALFOUNDRIES shows improving profitability, while Skyworks faces declining returns, indicating a weaker moat for Skyworks.
Stock Comparison
The stock prices of GLOBALFOUNDRIES Inc. (GFS) and Skyworks Solutions, Inc. (SWKS) have experienced significant declines over the past 12 months, reflecting bearish trends with contrasting recent price movements and varying volatility levels.
Trend Analysis
GLOBALFOUNDRIES Inc. (GFS) showed a bearish trend over the past year with a -21.86% price change and accelerating decline. However, its recent trend from November 2025 to January 2026 reversed, gaining 16.66%.
Skyworks Solutions, Inc. (SWKS) exhibited a stronger bearish trend, down -43.71% over the last 12 months with decelerating losses. The recent period saw further decline of -24.78% with increased volatility.
Comparing the two, GFS delivered a higher market performance over the year, experiencing less severe losses and a recent upward correction, unlike SWKS which faced a deeper and accelerating downturn.
Target Prices
The current analyst consensus shows mixed expectations for GLOBALFOUNDRIES Inc. and Skyworks Solutions, Inc.
| Company | Target High | Target Low | Consensus |
|---|---|---|---|
| GLOBALFOUNDRIES Inc. | 40 | 37 | 38.5 |
| Skyworks Solutions, Inc. | 140 | 60 | 85.11 |
GLOBALFOUNDRIES’ target consensus at 38.5 is slightly below its current price of 41.53, signaling cautious outlook. Skyworks’ consensus of 85.11 is significantly above its current price of 58.46, reflecting potential upside according to analysts.
Analyst Opinions Comparison
This section compares analysts’ ratings and grades for GLOBALFOUNDRIES Inc. and Skyworks Solutions, Inc.:
Rating Comparison
GLOBALFOUNDRIES Inc. Rating
- Rating: C+, considered Very Favorable overall.
- Discounted Cash Flow Score: 3, moderate valuation assessment.
- ROE Score: 1, very unfavorable efficiency in generating equity profit.
- ROA Score: 1, very unfavorable asset utilization.
- Debt To Equity Score: 3, moderate financial risk.
- Overall Score: 2, moderate overall financial standing.
Skyworks Solutions, Inc. Rating
- Rating: B+, considered Very Favorable overall.
- Discounted Cash Flow Score: 4, favorable valuation assessment.
- ROE Score: 3, moderate efficiency in generating equity profit.
- ROA Score: 4, favorable asset utilization.
- Debt To Equity Score: 3, moderate financial risk.
- Overall Score: 3, moderate overall financial standing.
Which one is the best rated?
Based strictly on the provided data, Skyworks Solutions, Inc. holds a higher rating (B+) and superior scores in discounted cash flow, ROE, and ROA compared to GLOBALFOUNDRIES Inc., which has a lower rating (C+) with weaker profitability metrics.
Scores Comparison
Here is a comparison of the Altman Z-Score and Piotroski Score for GLOBALFOUNDRIES Inc. and Skyworks Solutions, Inc.:
GFS Scores
- Altman Z-Score: 2.61, in the grey zone indicating moderate bankruptcy risk.
- Piotroski Score: 6, average financial strength and value potential.
SWKS Scores
- Altman Z-Score: 4.44, in the safe zone indicating low bankruptcy risk.
- Piotroski Score: 7, strong financial health and good value potential.
Which company has the best scores?
Based strictly on the provided data, SWKS demonstrates stronger financial stability with a safe-zone Altman Z-Score and a strong Piotroski Score compared to GFS’s grey-zone Altman Z-Score and average Piotroski Score.
Grades Comparison
Here is the comparison of the latest available grades for GLOBALFOUNDRIES Inc. and Skyworks Solutions, Inc.:
GLOBALFOUNDRIES Inc. Grades
The table below shows recent grades from reputable grading companies for GLOBALFOUNDRIES Inc.:
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Wedbush | Downgrade | Neutral | 2025-12-31 |
| B of A Securities | Maintain | Underperform | 2025-12-04 |
| Evercore ISI Group | Maintain | Outperform | 2025-11-13 |
| JP Morgan | Maintain | Neutral | 2025-11-13 |
| Citigroup | Maintain | Neutral | 2025-11-13 |
| Wedbush | Maintain | Outperform | 2025-11-13 |
| B of A Securities | Downgrade | Underperform | 2025-10-13 |
| Deutsche Bank | Maintain | Buy | 2025-08-06 |
| Morgan Stanley | Maintain | Equal Weight | 2025-08-06 |
| Wedbush | Maintain | Outperform | 2025-08-06 |
GLOBALFOUNDRIES shows a mixed grade pattern with recent downgrades to Neutral and Underperform, while some firms maintain Outperform or Buy ratings.
Skyworks Solutions, Inc. Grades
The table below shows recent grades from credible grading sources for Skyworks Solutions, Inc.:
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Mizuho | Upgrade | Neutral | 2025-11-11 |
| JP Morgan | Maintain | Neutral | 2025-11-05 |
| UBS | Maintain | Neutral | 2025-11-05 |
| Citigroup | Upgrade | Neutral | 2025-10-29 |
| Benchmark | Maintain | Hold | 2025-10-29 |
| Piper Sandler | Upgrade | Overweight | 2025-10-29 |
| Barclays | Upgrade | Equal Weight | 2025-10-29 |
| Keybanc | Upgrade | Overweight | 2025-10-29 |
| UBS | Maintain | Neutral | 2025-10-29 |
| Citigroup | Maintain | Sell | 2025-08-06 |
Skyworks Solutions’ recent grades reflect several upgrades from Sell or Underperform to Neutral or Overweight, indicating improving analyst sentiment.
Which company has the best grades?
Both GLOBALFOUNDRIES Inc. and Skyworks Solutions, Inc. have a consensus “Buy” rating. However, Skyworks has experienced more consistent upgrades leading to Neutral and Overweight ratings, while GLOBALFOUNDRIES shows a more mixed and cautious outlook with some downgrades. This contrast may influence investor perception of relative momentum and risk between the two companies.
Strengths and Weaknesses
Below is a comparison of key strengths and weaknesses for GLOBALFOUNDRIES Inc. (GFS) and Skyworks Solutions, Inc. (SWKS) based on the most recent financial and strategic data.
| Criterion | GLOBALFOUNDRIES Inc. (GFS) | Skyworks Solutions, Inc. (SWKS) |
|---|---|---|
| Diversification | Moderate diversification; main revenue from Water Fabrication (approx. $6.1B in 2024) plus Engineering services (~$652M) | Focused primarily on semiconductor solutions; less diversified product line |
| Profitability | Negative net margin (-3.93%), ROIC -1.47%, shedding value but ROIC improving | Positive net margin (11.67%), ROIC 6.35%, slightly favorable profitability |
| Innovation | Improving ROIC trend suggests growing operational efficiency; but overall value destruction indicates challenges | Declining ROIC trend signals pressure on innovation returns despite solid profitability |
| Global presence | Significant manufacturing footprint globally but financials indicate operational challenges | Well-established global presence with strong financial health and stable operations |
| Market Share | Strong in specialized fabrication services; faces competitive pressures impacting margins | Solid market share in wireless semiconductor components with stable demand |
Key takeaways: GLOBALFOUNDRIES shows signs of operational improvement but remains unprofitable, posing higher risk. Skyworks Solutions demonstrates stronger profitability and financial stability, though its declining ROIC trend calls for cautious monitoring of future innovation and growth potential.
Risk Analysis
Below is a comparative table of key risks for GLOBALFOUNDRIES Inc. (GFS) and Skyworks Solutions, Inc. (SWKS) based on the most recent financial year data:
| Metric | GLOBALFOUNDRIES Inc. (GFS) | Skyworks Solutions, Inc. (SWKS) |
|---|---|---|
| Market Risk | High beta at 1.485 indicates significant volatility | Moderate beta at 1.297 suggests moderate volatility |
| Debt level | Low debt-to-equity at 0.22, debt-to-assets 13.81% (favorable) | Low debt-to-equity at 0.21, debt-to-assets 15.2% (favorable) |
| Regulatory Risk | Semiconductor industry subject to export controls and trade policies | Exposure to multiple global markets with regulatory complexities |
| Operational Risk | Negative net margin and ROE show operational inefficiencies | Positive net margin (11.67%) but ROE at 8.29% is moderate |
| Environmental Risk | Industry faces pressure on energy use and waste management | Similar environmental pressures, with ongoing sustainability initiatives |
| Geopolitical Risk | US-based with global operations; supply chain sensitive to geopolitical tensions | Global footprint including China, sensitive to US-China trade dynamics |
In synthesis, GFS carries higher operational and market risks due to negative profitability and greater stock volatility, despite solid liquidity and low debt. SWKS demonstrates stronger operational performance and financial health, lowering risk in those areas, but remains exposed to geopolitical and regulatory risks inherent to global semiconductor markets. Investors should weigh GFS’s financial challenges against SWKS’s more stable profile.
Which Stock to Choose?
GLOBALFOUNDRIES Inc. (GFS) shows a mixed financial profile with a declining one-year income but positive overall growth since 2020. Its financial ratios and profitability are mostly unfavorable, with low returns and some liquidity strengths, and it carries low debt. The company’s rating is moderate with a very favorable overall rating but weak profitability scores.
Skyworks Solutions, Inc. (SWKS) demonstrates stronger income statement metrics with favorable margins despite recent revenue declines. Its financial ratios are slightly favorable, highlighted by solid liquidity, low debt, and good dividend yield. The rating is higher than GFS, with moderate to favorable scores and stronger financial health indicators.
For investors, SWKS might appear more suitable for those valuing financial stability and consistent profitability, while GFS could attract those focused on companies with improving profitability trends despite current challenges. The choice might depend on risk tolerance and investment strategy, considering GFS’s moderate rating versus SWKS’s slightly favorable financial ratios and stronger rating.
Disclaimer: Investment carries a risk of loss of initial capital. The past performance is not a reliable indicator of future results. Be sure to understand risks before making an investment decision.
Go Further
I encourage you to read the complete analyses of GLOBALFOUNDRIES Inc. and Skyworks Solutions, Inc. to enhance your investment decisions:
