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

STMicroelectronics N.V. (NYSE:STM) shares fell 3.6% during mid-day trading on Wednesday . The stock 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

Several equities research analysts have weighed in on STM shares. TD Cowen reiterated a “hold” rating on shares of STMicroelectronics in a report on Friday, April 24th. UBS Group set a $100.00 price objective on STMicroelectronics in a report on Wednesday. Robert W. Baird set a $90.00 price objective on STMicroelectronics in a report on Friday, April 24th. Mizuho increased their price objective on STMicroelectronics from $68.00 to $84.00 and gave the stock an “outperform” rating in a report on Wednesday, June 3rd. Finally, Weiss Ratings upgraded STMicroelectronics from a “sell (d+)” rating to a “hold (c-)” rating in a report on Tuesday, May 26th. Eleven investment analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, STMicroelectronics has an average rating of “Moderate Buy” and an average price target of $64.39.

STMicroelectronics Stock Down 3.6%

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 capitalization of $63.50 billion, a PE ratio of 441.88 and a beta of 1.94. The business has a 50-day moving average of $54.68 and a 200 day moving average of $38.12.

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%. Equities research analysts predict that STMicroelectronics N.V. will post 1.17 earnings per share for the current year.

STMicroelectronics Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 29th. Shareholders 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 dividend on an annualized basis and a yield of 0.5%. STMicroelectronics’s dividend payout ratio is 193.75%.

Institutional Investors Weigh In On STMicroelectronics

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in STM. Morgan Stanley raised its position in STMicroelectronics by 40.6% during the fourth quarter. Morgan Stanley now owns 6,156,161 shares of the semiconductor producer’s stock valued at $159,691,000 after purchasing an additional 1,778,113 shares during the period. Marshall Wace LLP bought a new position in shares of STMicroelectronics during the fourth quarter valued at approximately $42,731,000. Invesco Ltd. grew its stake in shares of STMicroelectronics by 67.1% during the third quarter. Invesco Ltd. now owns 4,003,933 shares of the semiconductor producer’s stock valued at $113,151,000 after buying an additional 1,608,029 shares during the last quarter. Defiance ETFs LLC bought a new position in shares of STMicroelectronics during the fourth quarter valued at approximately $39,545,000. Finally, Two Sigma Investments LP grew its stake in shares of STMicroelectronics by 135.0% during the third quarter. Two Sigma Investments LP now owns 2,322,540 shares of the semiconductor producer’s stock valued at $65,635,000 after buying an additional 1,334,192 shares during the last quarter. 5.05% of the stock is currently owned by hedge funds and other institutional investors.

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.