STMicroelectronics (NYSE:STM) Reaches New 52-Week Low – Should You Sell?

Shares of STMicroelectronics (NYSE:STM) hit a new 52-week low during mid-day trading on Friday . The company traded as low as $23.94 and last traded at $24.03, with a volume of 868981 shares changing hands. The stock had previously closed at $24.30.

Analyst Upgrades and Downgrades

A number of analysts recently issued reports on STM shares. Craig Hallum decreased their price objective on STMicroelectronics from $42.00 to $36.00 and set a “buy” rating on the stock in a research note on Thursday, October 31st. BNP Paribas started coverage on shares of STMicroelectronics in a report on Tuesday, December 3rd. They set a “neutral” rating and a $28.00 target price on the stock. Citigroup raised STMicroelectronics to a “strong-buy” rating in a research note on Thursday, October 10th. Morgan Stanley lowered STMicroelectronics from an “equal weight” rating to an “underweight” rating in a research note on Monday, November 4th. Finally, Susquehanna reissued a “positive” rating and set a $33.00 price objective on shares of STMicroelectronics in a report on Thursday, November 21st. One research analyst has rated the stock with a sell rating, six have assigned a hold rating, six have given a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat.com, STMicroelectronics has a consensus rating of “Moderate Buy” and a consensus target price of $36.26.

STMicroelectronics Price Performance

The firm’s fifty day moving average price is $25.92 and its 200-day moving average price is $30.53. The company has a quick ratio of 2.16, a current ratio of 2.84 and a debt-to-equity ratio of 0.12. The stock has a market cap of $21.96 billion, a P/E ratio of 10.00, a PEG ratio of 3.20 and a beta of 1.53.

STMicroelectronics (NYSE:STM) last issued its quarterly earnings data 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. The firm had revenue of $3.25 billion for the quarter, compared to analyst estimates of $3.27 billion. STMicroelectronics had a return on equity of 13.29% and a net margin of 16.11%. The business’s quarterly revenue was down 26.6% compared to the same quarter last year. During the same period last year, the company earned $1.16 EPS. Analysts forecast that STMicroelectronics will post 1.64 earnings per share for the current year.

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 paid a $0.09 dividend. This represents a $0.36 dividend on an annualized basis and a dividend yield of 1.48%. The ex-dividend date is Tuesday, March 25th. STMicroelectronics’s payout ratio is presently 14.81%.

Institutional Trading of STMicroelectronics

A number of hedge funds have recently modified their holdings of the business. Truvestments Capital LLC purchased a new stake in shares of STMicroelectronics in the 3rd quarter worth approximately $25,000. Archer Investment Corp purchased a new stake in shares of STMicroelectronics in the third quarter worth $30,000. GAMMA Investing LLC increased its holdings in shares of STMicroelectronics by 81.4% during the fourth quarter. GAMMA Investing LLC now owns 1,183 shares of the semiconductor producer’s stock valued at $30,000 after acquiring an additional 531 shares in the last quarter. Waldron Private Wealth LLC bought a new position in shares of STMicroelectronics during the third quarter valued at $34,000. Finally, TD Private Client Wealth LLC raised its position in shares of STMicroelectronics by 108.3% in the 3rd quarter. TD Private Client Wealth LLC now owns 1,556 shares of the semiconductor producer’s stock worth $46,000 after purchasing an additional 809 shares during the last quarter. Institutional investors 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.