STMicroelectronics (NYSE:STM) Stock Price Down 1.1% – Should You Sell?

STMicroelectronics N.V. (NYSE:STM) shares traded down 1.1% during mid-day trading on Wednesday . The company traded as low as $69.57 and last traded at $71.6480. Approximately 7,205,416 shares traded hands during mid-day trading, a decline of 30% from the average session volume of 10,357,478 shares. The stock had previously closed at $72.43.

Wall Street Analyst Weigh In

STM has been the topic of a number of research analyst reports. Craig Hallum raised shares of STMicroelectronics from a “hold” rating to a “buy” rating and set a $58.00 price objective on the stock in a report on Thursday, April 23rd. Robert W. Baird set a $90.00 target price on shares of STMicroelectronics in a report on Friday, April 24th. Mizuho increased their target price on shares of STMicroelectronics from $68.00 to $84.00 and gave the company an “outperform” rating in a research report on Wednesday, June 3rd. Morgan Stanley reiterated an “overweight” rating on shares of STMicroelectronics in a research note on Thursday, May 28th. Finally, Bank of America raised shares of STMicroelectronics from a “neutral” rating to a “buy” rating and set a $100.00 price target for the company in a research report on Wednesday, June 10th. 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, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $64.39.

STMicroelectronics Price Performance

The firm has a market capitalization of $64.35 billion, a price-to-earnings ratio of 447.83 and a beta of 1.94. The company has a fifty day moving average price of $62.79 and a two-hundred day moving average price of $41.88. The company has a quick ratio of 2.34, a current ratio of 3.31 and a debt-to-equity ratio of 0.12.

STMicroelectronics (NYSE:STM) last announced its earnings results on Saturday, March 28th. The semiconductor producer reported $0.13 earnings per share (EPS) for the quarter. STMicroelectronics had a net margin of 1.19% and a return on equity of 3.01%. The business had revenue of $3.10 billion for the quarter. On average, equities research analysts expect that STMicroelectronics N.V. will post 1.17 EPS for the current fiscal year.

STMicroelectronics Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 29th. Stockholders of record on Tuesday, September 22nd will be paid 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 187.50%.

Hedge Funds Weigh In On STMicroelectronics

Several institutional investors have recently added to or reduced their stakes in STM. Van ECK Associates Corp lifted 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 period. Morgan Stanley grew its stake in shares of STMicroelectronics by 40.6% in the 4th 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 last quarter. Invesco Ltd. increased its holdings in shares of STMicroelectronics by 29.9% in the fourth quarter. Invesco Ltd. now owns 5,199,951 shares of the semiconductor producer’s stock valued at $134,887,000 after purchasing an additional 1,196,018 shares during the period. Bank of America Corp DE increased its holdings in shares of STMicroelectronics by 43.9% in the second quarter. Bank of America Corp DE now owns 4,348,569 shares of the semiconductor producer’s stock valued at $132,240,000 after purchasing an additional 1,326,020 shares during the period. Finally, FIL Ltd raised its stake in shares of STMicroelectronics by 5.0% during the fourth quarter. FIL Ltd now owns 3,107,386 shares of the semiconductor producer’s stock worth $80,606,000 after purchasing an additional 146,676 shares during the last quarter. Institutional investors and hedge funds own 5.05% of the company’s stock.

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.