STMicroelectronics (NYSE:STM) to Issue $0.09 Quarterly Dividend

STMicroelectronics (NYSE:STM) declared a quarterly dividend on Thursday, September 5th, Wall Street Journal reports. Stockholders of record on Tuesday, December 17th will be given a dividend of 0.09 per share by the semiconductor producer on Friday, December 27th. This represents a $0.36 dividend on an annualized basis and a dividend yield of 1.22%. The ex-dividend date is Tuesday, December 17th.

STMicroelectronics has raised its dividend by an average of 8.9% annually over the last three years. STMicroelectronics has a payout ratio of 15.7% indicating that its dividend is sufficiently covered by earnings. Analysts expect STMicroelectronics to earn $2.14 per share next year, which means the company should continue to be able to cover its $0.36 annual dividend with an expected future payout ratio of 16.8%.

STMicroelectronics Trading Down 0.9 %

STMicroelectronics stock opened at $29.50 on Friday. The firm’s 50-day moving average is $34.84 and its 200-day moving average is $40.02. The company has a debt-to-equity ratio of 0.17, a quick ratio of 2.56 and a current ratio of 3.35. STMicroelectronics has a 1 year low of $28.19 and a 1 year high of $51.27. The company has a market cap of $26.65 billion, a P/E ratio of 7.56, a PEG ratio of 3.84 and a beta of 1.58.

STMicroelectronics (NYSE:STM) last posted its quarterly earnings results on Thursday, July 25th. The semiconductor producer reported $0.38 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.34 by $0.04. STMicroelectronics had a net margin of 19.68% and a return on equity of 18.18%. The company had revenue of $3.23 billion for the quarter, compared to the consensus estimate of $3.55 billion. During the same period last year, the firm posted $1.06 EPS. The company’s revenue for the quarter was down 25.3% on a year-over-year basis. On average, equities analysts expect that STMicroelectronics will post 1.66 earnings per share for the current year.

Analyst Ratings Changes

Several brokerages recently weighed in on STM. StockNews.com upgraded shares of STMicroelectronics from a “hold” rating to a “buy” rating in a research report on Monday. Sanford C. Bernstein cut their price objective on shares of STMicroelectronics from $54.00 to $41.00 and set an “outperform” rating on the stock in a research report on Tuesday, July 30th. Craig Hallum cut their price objective on shares of STMicroelectronics from $48.00 to $42.00 and set a “buy” rating on the stock in a research report on Thursday, July 25th. Morgan Stanley downgraded shares of STMicroelectronics from an “overweight” rating to an “equal weight” rating in a research report on Friday, July 26th. Finally, TD Cowen cut their price objective on shares of STMicroelectronics from $50.00 to $40.00 and set a “buy” rating on the stock in a research report on Friday, July 26th. Four investment analysts have rated the stock with a hold rating and eight have given a buy rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $43.13.

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.