STMicroelectronics (NYSE:STM) Shares Gap Up to $39.98

STMicroelectronics (NYSE:STM)’s share price gapped up prior to trading on Wednesday . The stock had previously closed at $39.98, but opened at $42.33. STMicroelectronics shares last traded at $42.47, with a volume of 1,623,550 shares trading hands.

Wall Street Analysts Forecast Growth

A number of research firms recently commented on STM. StockNews.com downgraded STMicroelectronics from a “strong-buy” rating to a “buy” rating in a research note on Wednesday, January 31st. Susquehanna reaffirmed a “positive” rating and issued a $55.00 price target on shares of STMicroelectronics in a research note on Monday, April 8th. Berenberg Bank raised STMicroelectronics from a “hold” rating to a “buy” rating in a research note on Tuesday. HSBC began coverage on STMicroelectronics in a research note on Thursday, February 22nd. They issued a “buy” rating for the company. Finally, Craig Hallum dropped their price target on STMicroelectronics from $50.00 to $48.00 and set a “buy” rating for the company in a research note on Thursday, January 25th. Two analysts have rated the stock with a hold rating and eight have issued a buy rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $50.75.

STMicroelectronics Stock Performance

The company has a quick ratio of 2.44, a current ratio of 3.17 and a debt-to-equity ratio of 0.16. The stock has a market cap of $38.42 billion, a price-to-earnings ratio of 9.54, a P/E/G ratio of 2.82 and a beta of 1.69. The company has a 50 day simple moving average of $43.83 and a 200 day simple moving average of $44.58.

STMicroelectronics (NYSE:STM) last issued its earnings results on Thursday, January 25th. The semiconductor producer reported $1.14 EPS for the quarter, topping the consensus estimate of $0.95 by $0.19. The firm had revenue of $4.28 billion during the quarter, compared to the consensus estimate of $4.08 billion. STMicroelectronics had a return on equity of 27.70% and a net margin of 24.36%. The business’s quarterly revenue was down 3.2% on a year-over-year basis. During the same quarter in the previous year, the firm earned $1.32 earnings per share. As a group, equities research analysts forecast that STMicroelectronics will post 2.99 EPS for the current year.

STMicroelectronics Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, July 2nd. Stockholders of record on Tuesday, June 25th will be paid a $0.09 dividend. The ex-dividend date is Tuesday, June 25th. This represents a $0.36 annualized dividend and a dividend yield of 0.85%. This is an increase from STMicroelectronics’s previous quarterly dividend of $0.06. STMicroelectronics’s dividend payout ratio is currently 4.48%.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the company. Thomas J. Herzfeld Advisors Inc. increased its stake in shares of STMicroelectronics by 548.4% in the third quarter. Thomas J. Herzfeld Advisors Inc. now owns 590 shares of the semiconductor producer’s stock valued at $25,000 after buying an additional 499 shares during the period. Mather Group LLC. acquired a new position in shares of STMicroelectronics in the first quarter valued at approximately $28,000. Huntington National Bank increased its stake in shares of STMicroelectronics by 112.7% in the third quarter. Huntington National Bank now owns 689 shares of the semiconductor producer’s stock valued at $30,000 after buying an additional 365 shares during the period. Headlands Technologies LLC acquired a new position in shares of STMicroelectronics in the third quarter valued at approximately $30,000. Finally, Spire Wealth Management increased its stake in shares of STMicroelectronics by 125.0% in the third quarter. Spire Wealth Management now owns 720 shares of the semiconductor producer’s stock valued at $31,000 after buying an additional 400 shares during the period. Institutional investors and hedge funds own 5.05% of the company’s stock.

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.