(CercleFinance.com) – After jumping more than 8% yesterday, STMicro shares are still up just over 2% today in Paris, after the publication yesterday of quarterly results that beat expectations.
In this context, Oddo this morning confirmed its ‘outperformance’ rating on the stock, while adjusting its target price, raised from 53 to 58 euros.
STMicro’s quarterly revenue came out at $4.42 billion, close to the consensus ($4.4 billion) and signaling an increase of +24% year-on-year and +2.4% sequentially (guidance +1.8% + /- 350bp). EPS came in at $1.32, 21% above consensus.
‘For the 2023 financial year, the group expects sales of between $16.8 and $17.8 billion (mid-range at $17.3 billion), up 4% to 10%, while the consensus was expecting on only 2% to $16.4 billion (we were at +5% or $17 billion),’ reports Oddo.
‘Following this publication, we are raising our forecasts by 10%, positioning ourselves a little above the middle of the range at $17.4 billion, integrating the assumption of an MB of 47% for the year and taking into taking into account the hypothesis of significant increases in net Opex from Q1 ($900/916 million),’ concludes the broker.
Since the start of the year, the stock has gained nearly 33%, including +15% over the past week.
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