Investors Purchase High Volume of STMicroelectronics Put Options (NYSE:STM)

Key Points

• On a recent trading day, investors purchased a significant volume of 6,896 put options for STMicroelectronics (NYSE:STM), marking a 91% increase from the average daily volume.
• STMicroelectronics' shares increased by 2.1% to reach $28.97, despite trading volume being below its average.
• The company recently reported its quarterly earnings, showing an EPS of $0.06, which missed analyst expectations by $0.04, while revenue surpassed estimates at $2.77 billion.

STMicroelectronics N.V. (NYSE:STM - Get Free Report) was the recipient of unusually large options trading on Thursday. Traders bought 6,896 put options on the stock. This is an increase of approximately 91% compared to the typical daily volume of 3,616 put options.

Institutional Trading of STMicroelectronics

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Caldwell Trust Co purchased a new stake in STMicroelectronics in the second quarter worth $91,000. Orion Porfolio Solutions LLC lifted its holdings in shares of STMicroelectronics by 27.2% in the 2nd quarter. Orion Porfolio Solutions LLC now owns 14,295 shares of the semiconductor producer's stock worth $435,000 after buying an additional 3,053 shares during the period. Evergreen Capital Management LLC purchased a new stake in shares of STMicroelectronics in the 2nd quarter worth $436,000. 44 Wealth Management LLC purchased a new stake in shares of STMicroelectronics in the 2nd quarter worth $744,000. Finally, Rakuten Securities Inc. lifted its holdings in shares of STMicroelectronics by 132.7% in the 2nd quarter. Rakuten Securities Inc. now owns 2,916 shares of the semiconductor producer's stock worth $89,000 after buying an additional 1,663 shares during the period. Hedge funds and other institutional investors own 5.05% of the company's stock.

STMicroelectronics Trading Up 2.1%

Shares of STMicroelectronics stock traded up $0.61 on Thursday, reaching $28.97. The company had a trading volume of 3,364,876 shares, compared to its average volume of 7,321,421. The firm has a market cap of $26.02 billion, a price-to-earnings ratio of 41.96, a P/E/G ratio of 4.71 and a beta of 1.66. The company has a debt-to-equity ratio of 0.11, a current ratio of 2.74 and a quick ratio of 1.96. The firm's 50-day moving average price is $26.63 and its two-hundred day moving average price is $26.15. STMicroelectronics has a 1 year low of $17.25 and a 1 year high of $33.47.

STMicroelectronics (NYSE:STM - Get Free Report) last announced its quarterly earnings data on Thursday, July 24th. The semiconductor producer reported $0.06 EPS for the quarter, missing the consensus estimate of $0.10 by ($0.04). STMicroelectronics had a net margin of 5.49% and a return on equity of 4.55%. The business had revenue of $2.77 billion during the quarter, compared to the consensus estimate of $2.71 billion. STMicroelectronics has set its Q3 2025 guidance at EPS. As a group, research analysts predict that STMicroelectronics will post 0.85 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

Several research analysts have recently commented on STM shares. Oddo Bhf raised STMicroelectronics to an "outperform" rating in a research note on Wednesday, July 2nd. The Goldman Sachs Group set a $26.50 target price on STMicroelectronics and gave the company a "neutral" rating in a research note on Friday, July 25th. TD Cowen decreased their target price on STMicroelectronics from $34.00 to $27.00 and set a "hold" rating on the stock in a research note on Friday, July 25th. Susquehanna lifted their target price on STMicroelectronics from $30.00 to $40.00 and gave the company a "positive" rating in a research note on Tuesday, July 22nd. Finally, Barclays reissued an "underweight" rating on shares of STMicroelectronics in a research note on Tuesday, September 16th. One research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, eight have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average target price of $32.06.

About STMicroelectronics

STMicroelectronics N.V., together with its subsidiaries, designs, develops, manufactures, and sells semiconductor products in Europe, the Middle East, Africa, the Americas, and the Asia Pacific. The company operates through Automotive and Discrete Group; Analog, MEMS and Sensors Group; and Microcontrollers and Digital ICs Group segments.

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