STMicroelectronics (NYSE:STM) Stock Price Down 3.6% – Here’s Why

STMicroelectronics N.V. (NYSE:STM) fell 3.6% during trading on Wednesday . The company traded as low as $70.02 and last traded at $70.6970. 17,245,247 shares changed hands during trading, an increase of 69% from the average session volume of 10,176,159 shares. The stock had previously closed at $73.32.

Analysts Set New Price Targets

A number of brokerages have recently commented on STM. Deutsche Bank Aktiengesellschaft reaffirmed a “buy” rating on shares of STMicroelectronics in a research report on Friday, May 15th. Craig Hallum raised STMicroelectronics from a “hold” rating to a “buy” rating and set a $58.00 price target on the stock in a research report on Thursday, April 23rd. Citigroup reissued a “buy” rating on shares of STMicroelectronics in a report on Sunday, April 26th. Bank of America raised STMicroelectronics from a “neutral” rating to a “buy” rating and set a $100.00 price objective on the stock in a report on Wednesday. Finally, TD Cowen reissued a “hold” rating on shares of STMicroelectronics in a report on Friday, April 24th. Eleven analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus target price of $64.39.

STMicroelectronics Price Performance

The firm has a market capitalization of $63.50 billion, a P/E ratio of 441.88 and a beta of 1.94. The company has a debt-to-equity ratio of 0.12, a quick ratio of 2.34 and a current ratio of 3.31. The business has a 50 day simple moving average of $54.68 and a two-hundred day simple moving average of $38.12.

STMicroelectronics (NYSE:STM) last announced its quarterly earnings data on Saturday, March 28th. The semiconductor producer reported $0.13 EPS for the quarter. The firm 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%. On average, sell-side analysts expect that STMicroelectronics N.V. will post 1.17 EPS for the current fiscal year.

STMicroelectronics Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 29th. Stockholders of record on Tuesday, September 22nd will be given a dividend of $0.09 per share. The ex-dividend date is Tuesday, September 22nd. This represents a $0.36 annualized dividend and a dividend yield of 0.5%. STMicroelectronics’s dividend payout ratio is 193.75%.

Hedge Funds Weigh In On STMicroelectronics

Institutional investors have recently modified their holdings of the company. Van ECK Associates Corp grew its position in STMicroelectronics by 12.2% during the 4th quarter. Van ECK Associates Corp now owns 10,532,428 shares of the semiconductor producer’s stock worth $273,211,000 after acquiring an additional 1,145,426 shares during the last quarter. Morgan Stanley grew its position in 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 acquiring an additional 1,778,113 shares during the last quarter. Invesco Ltd. grew its position in STMicroelectronics by 29.9% during the 4th quarter. Invesco Ltd. now owns 5,199,951 shares of the semiconductor producer’s stock worth $134,887,000 after acquiring an additional 1,196,018 shares during the last quarter. Bank of America Corp DE grew its position in STMicroelectronics by 43.9% during the 2nd quarter. Bank of America Corp DE now owns 4,348,569 shares of the semiconductor producer’s stock worth $132,240,000 after acquiring an additional 1,326,020 shares during the last quarter. Finally, JPMorgan Chase & Co. grew its position in STMicroelectronics by 19.1% during the 3rd quarter. JPMorgan Chase & Co. now owns 3,990,874 shares of the semiconductor producer’s stock worth $112,782,000 after acquiring an additional 641,327 shares during the last quarter. 5.05% of the stock is currently owned by institutional investors.

STMicroelectronics Company Profile

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.