STMicroelectronics (NYSE:STM) Shares Gap Down - Here's What Happened

Shares of STMicroelectronics (NYSE:STM - Get Free Report) gapped down before the market opened on Monday . The stock had previously closed at $26.29, but opened at $25.45. STMicroelectronics shares last traded at $25.35, with a volume of 744,993 shares changing hands.

Wall Street Analysts Forecast Growth

Several brokerages have recently commented on STM. Craig Hallum decreased their price target on STMicroelectronics from $42.00 to $36.00 and set a "buy" rating on the stock in a research note on Thursday, October 31st. JPMorgan Chase & Co. reiterated a "neutral" rating on shares of STMicroelectronics in a research report on Monday, December 9th. Robert W. Baird dropped their price target on STMicroelectronics from $35.00 to $30.00 and set a "neutral" rating for the company in a research report on Friday, November 1st. BNP Paribas initiated coverage on shares of STMicroelectronics in a research report on Tuesday, December 3rd. They issued a "neutral" rating and a $28.00 price objective on the stock. Finally, Citigroup raised shares of STMicroelectronics to a "strong-buy" rating in a research note on Thursday, October 10th. One research analyst has rated the stock with a sell rating, six have assigned a hold rating, six have issued a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus price target of $36.26.

STMicroelectronics Trading Down 2.1 %

The business's fifty day moving average price is $26.65 and its 200 day moving average price is $32.15. 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 firm has a market capitalization of $23.26 billion, a PE ratio of 10.56, a P/E/G ratio of 3.20 and a beta of 1.53.

STMicroelectronics (NYSE:STM - Get Free Report) last released its earnings results on Thursday, October 31st. The semiconductor producer reported $0.37 EPS for the quarter, topping the consensus estimate of $0.33 by $0.04. STMicroelectronics had a net margin of 16.11% and a return on equity of 13.29%. The firm had revenue of $3.25 billion during the quarter, compared to analysts' expectations of $3.27 billion. During the same period in the previous year, the company earned $1.16 EPS. STMicroelectronics's revenue for the quarter was down 26.6% on a year-over-year basis. As a group, analysts expect that STMicroelectronics will post 1.64 EPS for the current fiscal year.

STMicroelectronics Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, April 1st. Investors of record on Tuesday, March 25th will be given a dividend of $0.09 per share. The ex-dividend date of this dividend is Tuesday, March 25th. This represents a $0.36 annualized dividend and a yield of 1.40%. STMicroelectronics's dividend payout ratio (DPR) is presently 12.76%.

Institutional Trading of STMicroelectronics

Several hedge funds and other institutional investors have recently added to or reduced their stakes in STM. Aigen Investment Management LP purchased a new stake in shares of STMicroelectronics during the 3rd quarter worth about $1,157,000. Washington Capital Management Inc. purchased a new stake in STMicroelectronics during the third quarter worth approximately $1,112,000. Point72 Asset Management L.P. acquired a new stake in shares of STMicroelectronics in the third quarter worth $1,924,000. Point72 Hong Kong Ltd acquired a new position in shares of STMicroelectronics during the 3rd quarter valued at $1,424,000. Finally, American Century Companies Inc. boosted its position in STMicroelectronics by 6.5% during the 2nd quarter. American Century Companies Inc. now owns 469,669 shares of the semiconductor producer's stock worth $18,449,000 after purchasing an additional 28,846 shares during the period. Hedge funds and other institutional investors own 5.05% of the company's stock.

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.