STMicroelectronics climbs nearly 2% on the back of favorable commentary from UBS and Oddo BHF analysts, who have both raised their respective price targets for the chipmaker’s stock following the release of its annual results.
While reiterating its "buy" recommendation, UBS has slightly raised its price target from 30 to 31 euros, a new target that suggests a 32% upside potential for the Franco-Italian group’s shares.
According to the broker, these results "mark the beginning of a cycle of upward revisions over several quarters, driven by cyclical tailwinds, customer-specific growth, and improving margins that are fueling momentum."
Meanwhile, Oddo BHF reiterates its "outperform" rating on STMicro, raising its price target from 30 to 32 euros, noting that fourth-quarter results exceeded expectations across the board—except for earnings per share.
The research firm also points out that 2026 revenue consensus remains too low, given the starting point of the first quarter, for which STMicro has issued revenue and gross margin forecasts above consensus estimates.
"We believe profitability improvement will be marked as early as the second half of 2026 and even more so in 2027," the analyst predicts, raising their 2026/27 forecasts by 4% and 9%, respectively, and maintains that the stock remains "very attractive."
With over 48,000 creators and makers of semiconductor technologies mastering the semiconductor supply chain in state-of-the-art manufacturing facilities, STMicroelectronics N.V. is an integrated device manufacturer, working with more than 200,000 customers and thousands of partners to design and build products, solutions, and ecosystems that address their challenges and opportunities, and the need to support a more sustainable world. The Group's technologies enable smarter mobility, more efficient power and energy management, and the wide-scale deployment of cloud-connected autonomous things.
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