STMicroelectronics (NYSE:STM) Shares Gap Up to $39.98

STMicroelectronics (NYSE:STM - Get Free Report) gapped up prior to trading on Wednesday . The stock had previously closed at $39.98, but opened at $42.33. STMicroelectronics shares last traded at $42.47, with a volume of 1,623,550 shares.

Wall Street Analysts Forecast Growth

Several research firms recently weighed in on STM. Berenberg Bank upgraded shares of STMicroelectronics from a "hold" rating to a "buy" rating in a research report on Tuesday. Susquehanna restated a "positive" rating and set a $55.00 price target on shares of STMicroelectronics in a research report on Monday, April 8th. HSBC began coverage on shares of STMicroelectronics in a research report on Thursday, February 22nd. They set a "buy" rating for the company. StockNews.com downgraded shares of STMicroelectronics from a "strong-buy" rating to a "buy" rating in a report on Wednesday, January 31st. Finally, Craig Hallum dropped their price objective on shares of STMicroelectronics from $50.00 to $48.00 and set a "buy" rating on the stock in a report on Thursday, January 25th. Two research analysts have rated the stock with a hold rating and eight have assigned a buy rating to the company's stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus target price of $50.75.

STMicroelectronics Stock Performance

The firm has a market capitalization of $38.04 billion, a PE ratio of 9.45, a P/E/G ratio of 2.62 and a beta of 1.69. The company has a debt-to-equity ratio of 0.16, a current ratio of 3.17 and a quick ratio of 2.44. The company's fifty day simple moving average is $43.88 and its 200 day simple moving average is $44.59.

STMicroelectronics (NYSE:STM - Get Free Report) last announced its quarterly earnings results on Thursday, January 25th. The semiconductor producer reported $1.14 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.95 by $0.19. STMicroelectronics had a net margin of 24.36% and a return on equity of 27.70%. The firm had revenue of $4.28 billion for the quarter, compared to the consensus estimate of $4.08 billion. During the same period in the prior year, the firm posted $1.32 earnings per share. The company's revenue for the quarter was down 3.2% on a year-over-year basis. As a group, equities research analysts expect that STMicroelectronics will post 2.99 EPS for the current fiscal year.

STMicroelectronics Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, July 2nd. Stockholders of record on Tuesday, June 25th will be issued a $0.09 dividend. This represents a $0.36 dividend on an annualized basis and a dividend yield of 0.85%. This is an increase from STMicroelectronics's previous quarterly dividend of $0.06. The ex-dividend date is Tuesday, June 25th. STMicroelectronics's dividend payout ratio is presently 4.48%.

Institutional Investors Weigh In On STMicroelectronics

A number of institutional investors and hedge funds have recently modified their holdings of the company. SFE Investment Counsel increased its position in shares of STMicroelectronics by 2.8% in the fourth quarter. SFE Investment Counsel now owns 9,551 shares of the semiconductor producer's stock worth $479,000 after purchasing an additional 258 shares during the last quarter. M&T Bank Corp increased its position in shares of STMicroelectronics by 3.7% in the third quarter. M&T Bank Corp now owns 7,579 shares of the semiconductor producer's stock worth $327,000 after purchasing an additional 270 shares during the last quarter. Blue Trust Inc. increased its position in shares of STMicroelectronics by 11.2% in the fourth quarter. Blue Trust Inc. now owns 2,701 shares of the semiconductor producer's stock worth $135,000 after purchasing an additional 272 shares during the last quarter. Schechter Investment Advisors LLC increased its position in shares of STMicroelectronics by 3.0% in the third quarter. Schechter Investment Advisors LLC now owns 10,335 shares of the semiconductor producer's stock worth $446,000 after purchasing an additional 298 shares during the last quarter. Finally, Gallacher Capital Management LLC increased its position in shares of STMicroelectronics by 3.8% in the fourth quarter. Gallacher Capital Management LLC now owns 8,905 shares of the semiconductor producer's stock worth $446,000 after purchasing an additional 327 shares during the last quarter. 5.05% of the stock is owned by hedge funds and other institutional investors.

STMicroelectronics Company Profile

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.