STMicroelectronics (NYSE:STM) Sets New 1-Year Low – Here’s Why

STMicroelectronics (NYSE:STM) shares reached a new 52-week low on Tuesday . The stock traded as low as $24.33 and last traded at $24.56, with a volume of 489579 shares traded. The stock had previously closed at $24.95.

Analyst Upgrades and Downgrades

A number of research analysts recently weighed in on the stock. Morgan Stanley lowered shares of STMicroelectronics from an “equal weight” rating to an “underweight” rating in a research note on Monday, November 4th. Robert W. Baird lowered their price target on STMicroelectronics from $35.00 to $30.00 and set a “neutral” rating on the stock in a research note on Friday, November 1st. Susquehanna reduced their price objective on STMicroelectronics from $35.00 to $33.00 and set a “positive” rating for the company in a research note on Friday, November 1st. Sanford C. Bernstein decreased their price objective on STMicroelectronics from $54.00 to $41.00 and set an “outperform” rating on the stock in a report on Tuesday, July 30th. Finally, TD Cowen dropped their target price on shares of STMicroelectronics from $50.00 to $40.00 and set a “buy” rating for the company in a report on Friday, July 26th. One investment analyst has rated the stock with a sell rating, four have issued a hold rating, seven have assigned a buy rating and one has given a strong buy rating to the stock. According to MarketBeat.com, STMicroelectronics has an average rating of “Moderate Buy” and a consensus target price of $37.63.

STMicroelectronics Stock Performance

The company has a debt-to-equity ratio of 0.12, a quick ratio of 2.16 and a current ratio of 2.84. The firm’s 50-day moving average price is $27.75 and its two-hundred day moving average price is $34.24. The stock has a market cap of $22.27 billion, a price-to-earnings ratio of 10.27, a PEG ratio of 3.07 and a beta of 1.57.

STMicroelectronics (NYSE:STM) last posted its earnings results on Thursday, October 31st. The semiconductor producer reported $0.37 earnings per share for the quarter, beating the consensus estimate of $0.33 by $0.04. The company had revenue of $3.25 billion for the quarter, compared to analyst estimates of $3.27 billion. STMicroelectronics had a net margin of 16.11% and a return on equity of 13.29%. STMicroelectronics’s revenue was down 26.6% on a year-over-year basis. During the same period in the previous year, the business posted $1.16 EPS. On average, analysts expect that STMicroelectronics will post 1.64 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the business. TD Private Client Wealth LLC lifted its stake in shares of STMicroelectronics by 108.3% in the 3rd quarter. TD Private Client Wealth LLC now owns 1,556 shares of the semiconductor producer’s stock valued at $46,000 after purchasing an additional 809 shares during the last quarter. Main Management ETF Advisors LLC acquired a new position in STMicroelectronics in the third quarter valued at about $1,500,000. Two Sigma Advisers LP lifted its position in STMicroelectronics by 674.2% in the third quarter. Two Sigma Advisers LP now owns 1,396,700 shares of the semiconductor producer’s stock valued at $41,524,000 after buying an additional 1,216,300 shares during the last quarter. Stifel Financial Corp boosted its stake in STMicroelectronics by 0.7% during the third quarter. Stifel Financial Corp now owns 68,885 shares of the semiconductor producer’s stock worth $2,048,000 after buying an additional 493 shares during the period. Finally, Point72 Asset Management L.P. acquired a new stake in shares of STMicroelectronics during the third quarter valued at about $1,924,000. 5.05% of the stock is currently owned by hedge funds and other institutional investors.

STMicroelectronics Company Profile

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.