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

STMicroelectronics (NYSE:STM)’s stock price hit a new 52-week low on Tuesday . The stock traded as low as $21.28 and last traded at $21.59, with a volume of 1702223 shares trading hands. The stock had previously closed at $21.96.

Analyst Ratings Changes

A number of equities research analysts have recently weighed in on the stock. JPMorgan Chase & Co. restated a “neutral” rating on shares of STMicroelectronics in a report on Monday, December 9th. BNP Paribas started coverage on STMicroelectronics in a report on Tuesday, December 3rd. They set a “neutral” rating and a $28.00 price target for the company. TD Cowen downgraded STMicroelectronics from a “buy” rating to a “hold” rating and dropped their price objective for the company from $32.00 to $25.00 in a report on Monday, January 13th. Sanford C. Bernstein lowered STMicroelectronics from an “outperform” rating to a “market perform” rating and dropped their price objective for the stock from $33.00 to $26.00 in a report on Wednesday, February 5th. Finally, Bank of America downgraded shares of STMicroelectronics from a “buy” rating to a “neutral” rating in a research report on Thursday, February 6th. One investment analyst has rated the stock with a sell rating, ten have given a hold rating, four have given a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat.com, the stock has an average rating of “Hold” and a consensus target price of $31.26.

STMicroelectronics Price Performance

The company has a debt-to-equity ratio of 0.11, a quick ratio of 2.37 and a current ratio of 3.11. The stock has a market capitalization of $19.47 billion, a PE ratio of 13.05, a P/E/G ratio of 1.16 and a beta of 1.56. The company’s fifty day simple moving average is $24.49 and its two-hundred day simple moving average is $25.83.

STMicroelectronics (NYSE:STM) last issued its quarterly earnings data on Thursday, January 30th. The semiconductor producer reported $0.37 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.35 by $0.02. STMicroelectronics had a return on equity of 8.92% and a net margin of 11.74%. As a group, sell-side analysts predict that STMicroelectronics will post 0.85 EPS for the current year.

Institutional Trading of STMicroelectronics

Several institutional investors and hedge funds have recently made changes to their positions in STM. GAMMA Investing LLC raised its stake in STMicroelectronics by 81.4% in the 4th quarter. GAMMA Investing LLC now owns 1,183 shares of the semiconductor producer’s stock valued at $30,000 after purchasing an additional 531 shares during the last quarter. Newbridge Financial Services Group Inc. purchased a new stake in shares of STMicroelectronics during the fourth quarter worth about $31,000. Smartleaf Asset Management LLC raised its position in shares of STMicroelectronics by 225.7% in the fourth quarter. Smartleaf Asset Management LLC now owns 1,329 shares of the semiconductor producer’s stock valued at $33,000 after buying an additional 921 shares during the last quarter. TD Private Client Wealth LLC lifted its stake in shares of STMicroelectronics by 108.3% during the third quarter. TD Private Client Wealth LLC now owns 1,556 shares of the semiconductor producer’s stock valued at $46,000 after buying an additional 809 shares during the period. Finally, Rakuten Securities Inc. boosted its position in STMicroelectronics by 197.0% during the fourth quarter. Rakuten Securities Inc. now owns 1,779 shares of the semiconductor producer’s stock worth $44,000 after acquiring an additional 1,180 shares during the last quarter. 5.05% of the stock is currently 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.