We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
STMicroelectronics (STM) Ascends While Market Falls: Some Facts to Note
Read MoreHide Full Article
STMicroelectronics (STM - Free Report) ended the recent trading session at $47.50, demonstrating a +1.17% swing from the preceding day's closing price. The stock's change was more than the S&P 500's daily loss of 0.11%. Elsewhere, the Dow gained 0.12%, while the tech-heavy Nasdaq lost 0.41%.
The chip company's shares have seen an increase of 1.49% over the last month, surpassing the Computer and Technology sector's gain of 1.42% and falling behind the S&P 500's gain of 2.7%.
Investors will be eagerly watching for the performance of STMicroelectronics in its upcoming earnings disclosure. The company is forecasted to report an EPS of $0.59, showcasing a 46.36% downward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $3.6 billion, down 15.16% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.06 per share and a revenue of $16.23 billion, indicating changes of -31.39% and -6.11%, respectively, from the former year.
Investors might also notice recent changes to analyst estimates for STMicroelectronics. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been a 7.56% fall in the Zacks Consensus EPS estimate. As of now, STMicroelectronics holds a Zacks Rank of #5 (Strong Sell).
Investors should also note STMicroelectronics's current valuation metrics, including its Forward P/E ratio of 15.37. This expresses a discount compared to the average Forward P/E of 29.95 of its industry.
It's also important to note that STM currently trades at a PEG ratio of 3.07. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. STM's industry had an average PEG ratio of 2.65 as of yesterday's close.
The Semiconductor - General industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 89, which puts it in the top 36% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
STMicroelectronics (STM) Ascends While Market Falls: Some Facts to Note
STMicroelectronics (STM - Free Report) ended the recent trading session at $47.50, demonstrating a +1.17% swing from the preceding day's closing price. The stock's change was more than the S&P 500's daily loss of 0.11%. Elsewhere, the Dow gained 0.12%, while the tech-heavy Nasdaq lost 0.41%.
The chip company's shares have seen an increase of 1.49% over the last month, surpassing the Computer and Technology sector's gain of 1.42% and falling behind the S&P 500's gain of 2.7%.
Investors will be eagerly watching for the performance of STMicroelectronics in its upcoming earnings disclosure. The company is forecasted to report an EPS of $0.59, showcasing a 46.36% downward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $3.6 billion, down 15.16% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.06 per share and a revenue of $16.23 billion, indicating changes of -31.39% and -6.11%, respectively, from the former year.
Investors might also notice recent changes to analyst estimates for STMicroelectronics. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been a 7.56% fall in the Zacks Consensus EPS estimate. As of now, STMicroelectronics holds a Zacks Rank of #5 (Strong Sell).
Investors should also note STMicroelectronics's current valuation metrics, including its Forward P/E ratio of 15.37. This expresses a discount compared to the average Forward P/E of 29.95 of its industry.
It's also important to note that STM currently trades at a PEG ratio of 3.07. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. STM's industry had an average PEG ratio of 2.65 as of yesterday's close.
The Semiconductor - General industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 89, which puts it in the top 36% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.