William Blair Predicts Lower Earnings for STMicroelectronics

STMicroelectronics (NYSE:STM) – Stock analysts at William Blair dropped their Q1 2025 EPS estimates for STMicroelectronics in a research report issued on Monday, February 3rd. William Blair analyst J. Dorsheimer now forecasts that the semiconductor producer will post earnings per share of $0.05 for the quarter, down from their previous estimate of $0.18. The consensus estimate for STMicroelectronics’ current full-year earnings is $1.04 per share. William Blair also issued estimates for STMicroelectronics’ FY2025 earnings at $0.95 EPS and FY2026 earnings at $1.49 EPS.

STMicroelectronics (NYSE:STM) last released its earnings results on Thursday, January 30th. The semiconductor producer reported $0.37 earnings per share for the quarter, beating the consensus estimate of $0.35 by $0.02. STMicroelectronics had a net margin of 11.74% and a return on equity of 8.92%.

Other equities research analysts also recently issued research reports about the company. TD Cowen downgraded STMicroelectronics from a “buy” rating to a “hold” rating and cut their price target for the company from $32.00 to $25.00 in a report on Monday, January 13th. Sanford C. Bernstein downgraded STMicroelectronics from an “outperform” rating to a “market perform” rating and cut their price target for the company from $33.00 to $26.00 in a report on Wednesday. JPMorgan Chase & Co. reaffirmed a “neutral” rating on shares of STMicroelectronics in a report on Monday, December 9th. Craig Hallum cut their price target on STMicroelectronics from $42.00 to $36.00 and set a “buy” rating for the company in a report on Thursday, October 31st. Finally, Barclays downgraded STMicroelectronics from an “equal weight” rating to an “underweight” rating in a report on Wednesday, January 22nd. Two research analysts have rated the stock with a sell rating, nine have issued a hold rating, four have issued a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat, STMicroelectronics presently has a consensus rating of “Hold” and an average target price of $31.26.

STMicroelectronics Price Performance

NYSE:STM opened at $22.46 on Thursday. STMicroelectronics has a 1-year low of $21.36 and a 1-year high of $49.05. The company has a current ratio of 3.11, a quick ratio of 2.37 and a debt-to-equity ratio of 0.11. The firm has a fifty day simple moving average of $24.96 and a 200 day simple moving average of $27.48. The stock has a market capitalization of $20.29 billion, a PE ratio of 13.53, a P/E/G ratio of 0.76 and a beta of 1.51.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Truvestments Capital LLC acquired a new position in STMicroelectronics in the third quarter valued at about $25,000. Archer Investment Corp acquired a new position in STMicroelectronics in the third quarter valued at about $30,000. Waldron Private Wealth LLC acquired a new position in STMicroelectronics in the third quarter valued at about $34,000. GAMMA Investing LLC raised its stake in STMicroelectronics by 81.4% in the fourth 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 in the last quarter. Finally, Newbridge Financial Services Group Inc. acquired a new position in STMicroelectronics in the fourth quarter valued at about $31,000. Institutional investors and hedge funds own 5.05% of the company’s stock.

STMicroelectronics Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, April 1st. Stockholders of record on Tuesday, March 25th will be issued a dividend of $0.09 per share. This represents a $0.36 dividend on an annualized basis and a dividend yield of 1.60%. The ex-dividend date of this dividend is Tuesday, March 25th. STMicroelectronics’s dividend payout ratio is currently 18.67%.

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.