STMicroelectronics (NYSE:STM) Shares Gap Up – What’s Next?

Shares of STMicroelectronics (NYSE:STM) gapped up prior to trading on Tuesday . The stock had previously closed at $26.86, but opened at $27.40. STMicroelectronics shares last traded at $27.37, with a volume of 891,454 shares.

Wall Street Analyst Weigh In

Several equities research analysts recently weighed in on STM shares. StockNews.com downgraded shares of STMicroelectronics from a “buy” rating to a “hold” rating in a report on Thursday, September 19th. Susquehanna dropped their target price on STMicroelectronics from $35.00 to $33.00 and set a “positive” rating on the stock in a report on Friday, November 1st. Sanford C. Bernstein dropped 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. TD Cowen dropped their price objective on STMicroelectronics from $50.00 to $40.00 and set a “buy” rating on the stock in a report on Friday, July 26th. Finally, Morgan Stanley cut STMicroelectronics from an “equal weight” rating to an “underweight” rating in a research report on Monday, November 4th. One research analyst has rated the stock with a sell rating, four have given a hold rating, seven have assigned a buy rating and one has issued a strong buy rating to the company’s stock. According to MarketBeat, STMicroelectronics currently has a consensus rating of “Moderate Buy” and a consensus target price of $37.63.

STMicroelectronics Stock Up 0.7 %

The firm has a 50 day moving average of $28.09 and a two-hundred day moving average of $34.74. The firm has a market capitalization of $24.44 billion, a price-to-earnings ratio of 11.06, a price-to-earnings-growth ratio of 3.22 and a beta of 1.57. The company has a quick ratio of 2.16, a current ratio of 2.84 and a debt-to-equity ratio of 0.12.

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

STMicroelectronics Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, December 27th. Shareholders of record on Tuesday, December 17th will be paid a $0.09 dividend. The ex-dividend date is Tuesday, December 17th. This represents a $0.36 annualized dividend and a dividend yield of 1.33%. STMicroelectronics’s payout ratio is presently 12.35%.

Institutional Trading of STMicroelectronics

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Archer Investment Corp purchased a new position in shares of STMicroelectronics in the 3rd quarter worth about $30,000. Waldron Private Wealth LLC purchased a new position in shares of STMicroelectronics in the 3rd quarter worth $34,000. Whittier Trust Co. of Nevada Inc. raised its holdings in STMicroelectronics by 144.2% in the 2nd quarter. Whittier Trust Co. of Nevada Inc. now owns 1,243 shares of the semiconductor producer’s stock worth $49,000 after purchasing an additional 734 shares during the period. Ridgewood Investments LLC bought a new stake in STMicroelectronics during the second quarter valued at about $51,000. Finally, Tompkins Financial Corp bought a new stake in shares of STMicroelectronics in the third quarter worth about $59,000. 5.05% of the stock is currently owned by 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.