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

STMicroelectronics (NYSE:STM) 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 trading hands.

Analyst Ratings Changes

STM has been the topic of a number of analyst reports. HSBC initiated coverage on shares of STMicroelectronics in a report on Thursday, February 22nd. They set a “buy” rating on the stock. Craig Hallum cut their price objective on shares of STMicroelectronics from $50.00 to $48.00 and set a “buy” rating for the company in a research note on Thursday, January 25th. Susquehanna reissued a “positive” rating and set a $55.00 price target on shares of STMicroelectronics in a research report on Monday, April 8th. StockNews.com cut shares of STMicroelectronics from a “strong-buy” rating to a “buy” rating in a research report on Wednesday, January 31st. Finally, Berenberg Bank raised shares of STMicroelectronics from a “hold” rating to a “buy” rating in a research report on Tuesday. Two equities research analysts have rated the stock with a hold rating and eight have given a buy rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $50.75.

STMicroelectronics Price Performance

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 firm’s 50-day moving average is $43.94 and its two-hundred day moving average is $44.61. The company has a market cap of $38.07 billion, a P/E ratio of 9.52, a PEG ratio of 2.62 and a beta of 1.69.

STMicroelectronics (NYSE:STM) last issued its earnings results on Thursday, January 25th. The semiconductor producer reported $1.14 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.95 by $0.19. The firm had revenue of $4.28 billion during the quarter, compared to analyst estimates of $4.08 billion. STMicroelectronics had a net margin of 24.36% and a return on equity of 27.70%. The business’s revenue was down 3.2% on a year-over-year basis. During the same period in the previous year, the firm earned $1.32 earnings per share. Analysts anticipate that STMicroelectronics will post 2.99 earnings per share for the current year.

STMicroelectronics Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, July 2nd. Investors of record on Tuesday, June 25th will be given a $0.09 dividend. The ex-dividend date of this dividend is Tuesday, June 25th. This represents a $0.36 dividend on an annualized basis and a yield of 0.85%. This is a positive change from STMicroelectronics’s previous quarterly dividend of $0.06. STMicroelectronics’s dividend payout ratio is currently 4.48%.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Thomas J. Herzfeld Advisors Inc. raised its position in STMicroelectronics by 548.4% in the third quarter. Thomas J. Herzfeld Advisors Inc. now owns 590 shares of the semiconductor producer’s stock valued at $25,000 after purchasing an additional 499 shares during the period. Mather Group LLC. acquired a new position in shares of STMicroelectronics during the first quarter worth $28,000. Huntington National Bank lifted its position in STMicroelectronics by 112.7% in the third quarter. Huntington National Bank now owns 689 shares of the semiconductor producer’s stock valued at $30,000 after acquiring an additional 365 shares during the last quarter. Headlands Technologies LLC purchased a new stake in STMicroelectronics in the third quarter valued at $30,000. Finally, Spire Wealth Management lifted its position in STMicroelectronics by 125.0% in the third quarter. Spire Wealth Management now owns 720 shares of the semiconductor producer’s stock valued at $31,000 after acquiring an additional 400 shares during the last quarter. 5.05% of the stock is owned by hedge funds and other institutional investors.

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.