STMicroelectronics (NYSE:STM) Shares Down 9.2% – Here’s What Happened

STMicroelectronics N.V. (NYSE:STM)’s stock price dropped 9.2% during trading on Tuesday . The stock traded as low as $71.68 and last traded at $72.54. 14,115,969 shares traded hands during mid-day trading, an increase of 36% from the average session volume of 10,359,346 shares. The stock had previously closed at $79.91.

Analyst Ratings Changes

A number of equities analysts have weighed in on the company. Mizuho boosted their price objective on STMicroelectronics from $68.00 to $84.00 and gave the stock an “outperform” rating in a research note on Wednesday, June 3rd. Bank of America raised STMicroelectronics from a “neutral” rating to a “buy” rating and set a $100.00 target price for the company in a research note on Wednesday, June 10th. Robert W. Baird set a $90.00 price target on shares of STMicroelectronics in a research report on Friday, April 24th. Morgan Stanley reissued an “overweight” rating on shares of STMicroelectronics in a report on Thursday, May 28th. Finally, Weiss Ratings upgraded shares of STMicroelectronics from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Tuesday, May 26th. Eleven analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $64.39.

STMicroelectronics Stock Performance

The firm has a 50 day simple moving average of $63.41 and a 200-day simple moving average of $42.20. The company has a debt-to-equity ratio of 0.12, a current ratio of 3.31 and a quick ratio of 2.34. The company has a market cap of $66.92 billion, a price-to-earnings ratio of 465.76 and a beta of 1.94.

STMicroelectronics (NYSE:STM) last posted its earnings results on Saturday, March 28th. The semiconductor producer reported $0.13 EPS 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%. As a group, analysts predict that STMicroelectronics N.V. will post 1.17 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of STM. Van ECK Associates Corp raised its stake in shares of STMicroelectronics by 12.2% in the 4th quarter. Van ECK Associates Corp now owns 10,532,428 shares of the semiconductor producer’s stock valued at $273,211,000 after acquiring an additional 1,145,426 shares during the period. Morgan Stanley boosted its position in shares of STMicroelectronics by 40.6% during the 4th quarter. Morgan Stanley now owns 6,156,161 shares of the semiconductor producer’s stock worth $159,691,000 after purchasing an additional 1,778,113 shares during the period. Invesco Ltd. increased its holdings in STMicroelectronics by 29.9% in the 4th quarter. Invesco Ltd. now owns 5,199,951 shares of the semiconductor producer’s stock valued at $134,887,000 after purchasing an additional 1,196,018 shares during the last quarter. Bank of America Corp DE increased its holdings in STMicroelectronics by 43.9% in the 2nd quarter. Bank of America Corp DE now owns 4,348,569 shares of the semiconductor producer’s stock valued at $132,240,000 after purchasing an additional 1,326,020 shares during the last quarter. Finally, FIL Ltd raised its position in STMicroelectronics by 5.0% in the fourth quarter. FIL Ltd now owns 3,107,386 shares of the semiconductor producer’s stock valued at $80,606,000 after purchasing an additional 146,676 shares during the period. Hedge funds and other institutional investors 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.