STMicroelectronics (NYSE:STM) Stock Price Down 1.5% - What's Next?

Key Points

• STMicroelectronics shares fell about 1.5% in mid-day trading to $49.80 (session low $48.97) on volume of ~10.05M shares, roughly 11% above the average daily volume.
• Analysts have been upgrading the stock (e.g., Morgan Stanley to overweight, Craig Hallum to buy), and the consensus rating is a Moderate Buy with a $49.07 price target — effectively in line with the current price.
• Recent fundamentals show quarterly EPS of $0.13 on $3.10B revenue with a slim net margin (1.19%); the company has a market cap of ~$44.7B and an elevated trailing P/E of about 311, indicating valuation stretched versus earnings.

STMicroelectronics N.V. (NYSE:STM - Get Free Report)'s stock price dropped 1.5% during mid-day trading on Tuesday . The stock traded as low as $48.97 and last traded at $49.8020. Approximately 10,052,173 shares changed hands during trading, an increase of 11% from the average daily volume of 9,093,723 shares. The stock had previously closed at $50.56.

Analyst Upgrades and Downgrades

STM has been the topic of several research reports. Morgan Stanley raised STMicroelectronics from an "equal weight" rating to an "overweight" rating in a report on Thursday, March 26th. Craig Hallum raised STMicroelectronics from a "hold" rating to a "buy" rating and set a $58.00 price objective on the stock in a report on Thursday, April 23rd. Weiss Ratings raised STMicroelectronics from a "sell (d+)" rating to a "hold (c-)" rating in a report on Friday. TD Cowen reaffirmed a "hold" rating on shares of STMicroelectronics in a report on Friday. Finally, Citigroup reaffirmed a "buy" rating on shares of STMicroelectronics in a report on Sunday. Ten equities research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, STMicroelectronics currently has a consensus rating of "Moderate Buy" and a consensus price target of $49.07.

STMicroelectronics Stock Performance

The stock has a 50 day moving average price of $36.19 and a two-hundred day moving average price of $30.07. The company has a current ratio of 3.31, a quick ratio of 2.34 and a debt-to-equity ratio of 0.12. The company has a market cap of $44.73 billion, a price-to-earnings ratio of 311.28 and a beta of 1.51.

STMicroelectronics (NYSE:STM - Get Free Report) last posted its quarterly earnings results on Saturday, March 28th. The semiconductor producer reported $0.13 earnings per share for the quarter. The company had revenue of $3.10 billion for the quarter. STMicroelectronics had a return on equity of 3.01% and a net margin of 1.19%. Analysts predict that STMicroelectronics N.V. will post 1.2 EPS for the current year.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in STM. Amundi acquired a new position in shares of STMicroelectronics in the 1st quarter valued at $947,000. AQR Capital Management LLC increased its position in shares of STMicroelectronics by 182.8% in the 1st quarter. AQR Capital Management LLC now owns 32,094 shares of the semiconductor producer's stock valued at $705,000 after buying an additional 20,745 shares in the last quarter. Legal & General Group Plc bought a new stake in shares of STMicroelectronics in the 2nd quarter valued at $119,000. M&T Bank Corp bought a new stake in shares of STMicroelectronics in the 2nd quarter valued at $303,000. Finally, EverSource Wealth Advisors LLC increased its position in shares of STMicroelectronics by 79.1% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 4,883 shares of the semiconductor producer's stock valued at $148,000 after buying an additional 2,156 shares in the last quarter. Institutional investors and hedge funds own 5.05% of the company's stock.

About STMicroelectronics

STMicroelectronics is a global semiconductor company headquartered in Geneva, Switzerland, formed through the 1987 merger of SGS Microelettronica and Thomson Semiconducteurs. The company designs, develops and manufactures a broad range of semiconductor products and solutions that serve multiple end markets worldwide. ST's offerings span from basic components to integrated systems, emphasizing energy-efficient and high-performance devices for modern electronics.

Product categories include microcontrollers (notably the widely used STM32 family), analog and mixed-signal ICs, power MOSFETs and power-management devices, MEMS and sensors, image sensors, and discrete semiconductors.

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