Oddo BHF maintains its 'outperform' rating on STMicro shares, with a price target reduced from 50 to 48 euros.

"Following the publication of Q1 24 results below expectations, a Q2 guidance also below expectations and a drastic downward revision of the 2024 guidance, we are lowering our forecasts by 33% on average", says the analyst.

As a reminder, quarterly sales amounted to $3,465 million, down 19.1% qoq and 18.4% yoy, < consensus and the $3.6 billion guidance.

Nevertheless, despite the more cautious forecasts, 'the share remains very attractive', says the broker.

We have revised our forecasts for 2024 by 38%, and are now positioned at the lower end of our guidance ($14/15 bn) at $14.2 bn, representing a rebound of around 10% in H2 vs. H1. This could be a cautious position, but we're waiting to see what Q2 order intake will be before raising our figures', concludes Oddo BHF.


Copyright (c) 2024 CercleFinance.com. All rights reserved.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.