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. The Automotive and Discrete Group segment offers automotive integrated circuits (ICs), and discrete and power transistor products. The Analog, MEMS and Sensors Group segment provides industrial application-specific integrated circuits (ASICs) and application-specific standard products (ASSPs); general purpose analog products; custom analog ICs; wireless charging solutions; galvanic isolated gate drivers; low and high voltage amplifiers, comparators, and current-sense amplifiers; MasterGaN, a solution that integrates a silicon driver and GaN power transistors in a single package; wireline and wireless connectivity ICs; touch screen controllers; micro-electro-mechanical systems (MEMS) products, including sensors or actuators; and optical sensing solutions. The Microcontrollers and Digital ICs Group segment offers general purpose and secure microcontrollers; and radio frequency (RF) products. It also offers application-specific standard products for analog, digital and mixed-signal applications. In addition, the company provides assembly and other services. It sells its products through distributors and retailers, as well as through sales representatives. The company serves automotive, industrial, personal electronics and communications equipment, and computers and peripherals markets. STMicroelectronics N.V. was incorporated in 1987 and is headquartered in Geneva, Switzerland.

STMicroelectronics N.V.

Navitas Semiconductor NVTS is actively strengthening its financial position through a combination of operational efficiencies and cost management amid softness in core markets.
The company reported first-quarter 2025 operating expenses of $17.2 million, down sequentially, with an aim to further reduce it to $15.5 million in the upcoming quarters. This contributed to an improved non-GAAP operating loss of $11.8 million, down from $12.7 million in the previous quarter. NVTS expects further reductions in operating expenses and remains on track to reach EBITDA breakeven once quarterly revenues enter the high $30 million range in 2026, positioning the company for sustained financial stability and future growth. Additionally, Navitas maintains a debt-free balance sheet, $75 million in cash, providing strong liquidity.
Other Factors Fueling NVTS’ Strong Financial Position
Navitas secured $450 million in design wins till 2024, across sectors such as EV, data centers, solar and mobile. These wins are now moving into production, expected to yield revenue growth in the upcoming quarters. Additionally, the company’s leadership in gallium nitride (GaN) and silicon carbide (SiC) power semiconductors, particularly with industry-first innovations like bidirectional GaN ICs and AEC-Q101-qualified GaNSafe technology, gives it a competitive edge in capturing higher margins.
NVTS’ GaN products are manufactured in Taiwan and sold mostly outside the United States, minimizing direct tariff exposure. The company is expanding into high-power applications like AI data centers (12kW systems), commercial EVs and next-gen solar microinverters. These markets have higher average selling prices (ASPs), longer product lifecycles and stronger growth potential that help improve both top-line growth and gross margin over time.
Prominent Competitors of NVTS With Strong Financial Position
ON Semiconductor ON ended the first quarter with cash and cash equivalents and short-term investments of $3.01 billion. In comparison, long-term debt was $3.35 billion, which is easily manageable, given its strong cash flow generation ability. In first-quarter 2025, the company generated cash flow of $602.3 million, up 20.8% year over year. It currently has $1.1 billion available under its revolving credit facility. Onsemi is reducing its capital expenditure spending, which is now expected to be 5% of revenues for the rest of 2025. Strong liquidity is helping ON continue with its share repurchase program. In the first quarter, it repurchased 6.1 million shares of common stock.
STMicroelectronics STM exited the first quarter with $5.96 billion in total liquidity and $2.88 billion in debt, resulting in a strong net financial position of $3.08 billion. This provides the company with ample financial flexibility to navigate market fluctuations and continue investing in growth.
Despite a 27% drop in year-over-year revenues, it kept operating expenses in check at $830 million, lesser than anticipated, reflecting strict cost discipline. The company is continuing to invest wisely, with a planned $2.00-$2.30 billion in capital expenditure in 2025. This investment is aimed at upgrading its manufacturing by expanding its 300mm silicon and 200mm silicon carbide (SiC) production capacity.
NVTS Stock Outperforms Industry & Benchmark
Year to date, shares of Navitas have surged 72.6%, outperforming the industry and S&P 500 composite’s growth of 15.7% and 5.7%, respectively.
Image Source: Zacks Investment Research
NVTS stock trades at a forward 12-month price-to-sales (P/S) of 14.4X, significantly higher than the industry average of 7.5X.
Image Source: Zacks Investment Research
NVTS Consensus Estimate Trend
The Zacks Consensus Estimate for NVTS’ loss per share has moved south over the past 90 days.
Image Source: Zacks Investment Research
NVTS’ Zacks Rank
NVTS stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Zacks' Research Chief Picks Stock Most Likely to "At Least Double"
Our experts have revealed their Top 5 recommendations with money-doubling potential – and Director of Research Sheraz Mian believes one is superior to the others. Of course, all our picks aren’t winners but this one could far surpass earlier recommendations like Hims & Hers Health, which shot up +209%.
See Our Top Stock to Double (Plus 4 Runners Up) >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Navitas Enjoys Robust Financial Position: What's Fueling It?

Taiwan Semiconductor Manufacturing Company Ltd. TSM is scheduled to release its second-quarter 2025 earnings on July 17. The company’s sustained focus on advanced semiconductor technologies and the growing demand for artificial intelligence (AI) chips across multiple industries positions it for robust financial results.
Click here to know how TSM’s overall second-quarter results are likely to be.
Advanced Node Demand Powers TSM’s Revenue Growth
For the second quarter, Taiwan Semiconductor has projected revenues between $28.4 billion and $29.2 billion, implying a year-over-year increase of 38.3% at the midpoint. The Zacks Consensus Estimate for the top line is pegged at $30.04 billion, indicating year-over-year growth of 44.3%.
The increasing use of AI in cloud services, personal electronics and data centers has led to a sharp rise in demand for high-performance chips. Taiwan Semiconductor, the world’s largest contract chipmaker, is benefiting directly from this shift. Its lead in advanced chipmaking technologies, especially the 3-nanometer (nm) and 5-nm nodes, is likely to have played a big role in boosting revenues during the to-be-reported quarter.
Taiwan Semiconductor has been witnessing strong demand for its AI-focused products, including Chip-on-Wafer-on-Substrate advanced packaging solutions. This segment has seen consistent demand exceeding supply, reflecting the company’s critical role in powering AI and high-performance computing applications.
Taiwan Semiconductor Manufacturing Company Ltd. Price and EPS Surprise
Global Expansion and Energy Costs to Pressure TSM’s Margins
Rising operational costs, especially from its overseas expansion into Arizona, Japan and Germany, are likely to have hurt Taiwan Semiconductor’s gross margin in the to-be-reported quarter. These new facilities, which are strategically important for diversification, are expected to reduce gross margins by 2-3% annually over the next three to five years due to higher labor and utility costs, coupled with lower initial utilization rates.
Higher energy prices in Taiwan, following a 25% electricity hike in 2024, pose additional challenges, especially as advanced nodes demand greater power.
Despite the prevailing challenges, analysts remain optimistic about TSM’s bottom-line growth in the to-be-reported quarter. The Zacks Consensus Estimate for Taiwan Semiconductor’s second-quarter earnings has been revised upward by 5 cents to $2.37 per share, indicating year-over-year growth of 60.1%. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)
TSM’s Zacks Rank & Other Stocks to Consider
Currently, Taiwan Semiconductor carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks worth considering in the broader Zacks Computer and Technology sector are Micron Technology MU, Intel INTC and STMicroelectronics STM, each carrying a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for Micron Technology’s fiscal 2025 earnings has been revised upward by 12.1% to $7.77 per share in the past 30 days, suggesting an increase of 497.7% from fiscal 2024’s reported figure. Micron Technology shares have rallied 42.7% year to date (YTD).
The Zacks Consensus Estimate for Intel’s 2025 earnings has moved downward by a penny to 28 cents per share in the past 30 days, implying a robust improvement from 2024’s loss of 13 cents per share. Intel shares have risen 14.3% YTD.
The Zacks Consensus Estimate for STMicroelectronics’ full-year 2025 earnings has been revised upward by a penny to 81 cents per share over the past seven days and suggests a year-over-year decline of 51.2%. STMicroelectronics shares have soared 26.2% YTD.
Only $1 to See All Zacks' Buys and Sells
We're not kidding.
Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent. Thousands have taken advantage of this opportunity.
Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators, and more, that closed 256 positions with double- and triple-digit gains in 2024 alone.
See Stocks Now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Advanced AI Chip Demand Likely to Aid Taiwan Semiconductor's Q2 Sales

Looking at the universe of stocks we cover at Dividend Channel, on 6/23/25, Berkley Corp (Symbol: WRB), STMicroelectronics NV (Symbol: STM), and Playtika Holding Corp (Symbol: PLTK) will all trade ex-dividend for their respective upcoming dividends. Berkley Corp will pay its quarterly dividend of $0.09 on 6/30/25, STMicroelectronics NV will pay its quarterly dividend of $0.09 on 7/1/25, and Playtika Holding Corp will pay its quarterly dividend of $0.10 on 7/7/25. As a percentage of WRB's recent stock price of $72.78, this dividend works out to approximately 0.12%, so look for shares of Berkley Corp to trade 0.12% lower — all else being equal — when WRB shares open for trading on 6/23/25. Similarly, investors should look for STM to open 0.31% lower in price and for PLTK to open 2.19% lower, all else being equal.
Below are dividend history charts for WRB, STM, and PLTK, showing historical dividends prior to the most recent ones declared.
Berkley Corp (Symbol: WRB):
STMicroelectronics NV (Symbol: STM):
Playtika Holding Corp (Symbol: PLTK):
In general, dividends are not always predictable, following the ups and downs of company profits over time. Therefore, a good first due diligence step in forming an expectation of annual yield going forward, is looking at the history above, for a sense of stability over time. This can help in judging whether the most recent dividends from these companies are likely to continue. If they do continue, the current estimated yields on annualized basis would be 0.49% for Berkley Corp, 1.24% for STMicroelectronics NV, and 8.76% for Playtika Holding Corp.
In Friday trading, Berkley Corp shares are currently off about 0.1%, STMicroelectronics NV shares are up about 0.8%, and Playtika Holding Corp shares are off about 0.3% on the day.
Click here to learn which 25 S.A.F.E. dividend stocks should be on your radar screen »
Also see:
Top Stocks Held By Andreas Halvorsen
TKO Group Holdings DMA
YCB Insider Buying
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Ex-Dividend Reminder: Berkley, STMicroelectronics and Playtika Holding

Below is Validea's guru fundamental report for STMICROELECTRONICS NV (ADR) (STM). Of the 22 guru strategies we follow, STM rates highest using our Value Investor model based on the published strategy of Benjamin Graham. This deep value methodology screens for stocks that have low P/B and P/E ratios, along with low debt and solid long-term earnings growth.
STMICROELECTRONICS NV (ADR) (STM) is a large-cap growth stock in the Semiconductors industry. The rating using this strategy is 57% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
SECTOR:
FAIL
SALES:
PASS
CURRENT RATIO:
PASS
LONG-TERM DEBT IN RELATION TO NET CURRENT ASSETS:
PASS
LONG-TERM EPS GROWTH:
PASS
P/E RATIO:
FAIL
PRICE/BOOK RATIO:
FAIL
Detailed Analysis of STMICROELECTRONICS NV (ADR)
STM Guru Analysis
STM Fundamental Analysis
More Information on Benjamin Graham
Benjamin Graham Portfolio
Top Benjamin Graham Stocks
About Benjamin Graham: The late Benjamin Graham may be the oldest of the gurus we follow, but his impact on the investing world has lasted for decades after his death in 1976. Known as both the "Father of Value Investing" and the founder of the entire field of security analysis, Graham mentored several of history's greatest investors -- including Warren Buffett -- and inspired a slew of others, including John Templeton, Mario Gabelli, and another of Validea's gurus, John Neff. Graham built his fortune and reputation after living through some extremely difficult times, including both the Great Depression and his own family's financial woes following his father's death when Benjamin was a young man. His investment firm posted per annum returns of about 20 percent from 1936 to 1956, far outpacing the 12.2 percent average return for the market during that time.
Additional Research Links
Top NASDAQ 100 Stocks
Top Technology Stocks
Top Large-Cap Growth Stocks
High Momentum Stocks
Top Chip Stocks
High Insider Ownership Stocks
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Benjamin Graham Detailed Fundamental Analysis - STM

STM Quantitative Stock Analysis - Benjamin Graham

(RTTNews) - STMicroelectronics N.V. (STM), a semiconductor company, Thursday reported sharply lower profit in its first quarter with weak revenues. Adjusted earnings, however, beat market estimates, while revenues matched their view.
Looking ahead, for the second quarter the company expects, at the mid-point, net revenues of $2.71 billion, decreasing year-over-year by 16.2 percent and increasing sequentially by 7.7 percent.
Gross margin is expected to be about 33.4 percent, plus or minus 200 basis points, impacted by about 420 basis points of unused capacity charges.
Jean-Marc Chery, ST President & CEO, said, "While we see Q1 2025 as the bottom, in the current uncertain environment we are focusing on what we can control: keep on innovating to continuously improve and accelerate the competitiveness of our product and technology portfolio, focus on advanced manufacturing and tightly manage our costs. In this respect our company-wide program to reshape ST manufacturing footprint and resize our global cost base is on track and we confirm the annual cost savings target in the high triple-digit million-dollar range exiting 2027."
In the first quarter, net income plunged 89.1 percent to $56 million from $513 million last year. Earnings per share fell 88.9 percent to $0.06 from $0.54 last year.
Adjusted net income was $63 million or $0.07 per share for the latest quarter.
The Wall Street analysts on average expected the company to report earnings of $0.05 per share. Analysts' estimates typically exclude special items.
Operating margin decreased to 0.1 percent from 15.9 percent a year ago.
Net revenues for the quarter fell 27.3 percent to $2.52 billion from last year's $3.47 billion. The Street expected revenues of $2.52 billion.
The company noted that the first-quarter net revenues came in line with the midpoint of business outlook range, driven by higher revenues in Personal Electronics offset by lower-than-expected revenues in Automotive and Industrial.
For more earnings news, earnings calendar, and earnings for stocks, visit rttnews.com.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

STMicroelectronics Q1 Earnings Down, But Tops Market; Warns On Q2; Confirms Annual Cost Savings View

The following are the top rated Information Technology stocks according to Validea's Value Investor model based on the published strategy of Benjamin Graham. This deep value methodology screens for stocks that have low P/B and P/E ratios, along with low debt and solid long-term earnings growth.
ON SEMICONDUCTOR CORP (ON) is a large-cap value stock in the Semiconductors industry. The rating according to our strategy based on Benjamin Graham is 86% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: ON Semiconductor Corporation operates under the onsemi brand. It provides intelligent power and intelligent sensing solutions. Its segments include the Power Solutions Group (PSG), the Analog & Mixed-Signal Group (AMG), and the Intelligent Sensing Group (ISG). PSG offers an array of discrete, module and integrated semiconductor products that perform multiple application functions, including power switching, signal conditioning, and circuit protection. AMG designs and develops analog, mixed-signal, Power Management ICs, Sensor Interface devices, Power Conversion, Signal Chain, and Voltage Regulation devices for a broad base of end-users in the automotive, industrial, computing and mobile end-markets. ISG designs and develops CMOS image sensors, image signal processors, single photon detectors, including SiPM, SPAD arrays and short-wavelength infrared products, as well as actuator drivers for autofocus and image stabilization for a broad base of end-users in the different end-markets.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
SECTOR:
FAIL
SALES:
PASS
CURRENT RATIO:
PASS
LONG-TERM DEBT IN RELATION TO NET CURRENT ASSETS:
PASS
LONG-TERM EPS GROWTH:
PASS
P/E RATIO:
PASS
PRICE/BOOK RATIO:
PASS
Detailed Analysis of ON SEMICONDUCTOR CORP
ON Guru Analysis
ON Fundamental Analysis
STMICROELECTRONICS NV (ADR) (STM) is a large-cap value stock in the Semiconductors industry. The rating according to our strategy based on Benjamin Graham is 86% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: STMicroelectronics N.V. is a Netherlands-based semiconductor company. It designs, develops, manufactures and markets a range of products, including discrete and standard commodity components, and application-specific integrated circuits (ASICs) for analog, digital and mixed-signal applications. The Company's segments include Automotive and Discrete Group (ADG), Analog, MEMS and Sensors Group (AMS), and Microcontrollers and Digital ICs Group (MDG). The ADG segment comprises all dedicated automotive Integrated Circuits (ICs), and discrete and power transistor products. The AMS segment includes low-power analog ICs for all markets, smart power products; Touch Screen Controllers, Low Power Connectivity solutions for Internet of Things (IoT), and power conversion products, among others. The AMS segment comprises general purpose and secure microcontrollers, and Electrically Erasable Programmable Read-Only Memory memories.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
SECTOR:
FAIL
SALES:
PASS
CURRENT RATIO:
PASS
LONG-TERM DEBT IN RELATION TO NET CURRENT ASSETS:
PASS
LONG-TERM EPS GROWTH:
PASS
P/E RATIO:
PASS
PRICE/BOOK RATIO:
PASS
Detailed Analysis of STMICROELECTRONICS NV (ADR)
STM Guru Analysis
STM Fundamental Analysis
CLOUDFLARE INC (NET) is a large-cap value stock in the Business Services industry. The rating according to our strategy based on Benjamin Graham is 71% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Cloudflare, Inc. is a connectivity cloud company. It is a global cloud services provider that delivers a range of services to businesses of all sizes and in all geographies. Its network serves as a scalable, unified control plane to deliver security, performance, and reliability across on-premise, hybrid, cloud and software-as-a-service applications. Its integrated suite of products consists of solutions for an organization's external-facing infrastructure, such as Websites, applications and application programming interfaces to deliver security and reliability; solutions to serve an organization's internal resources, such as internal networks and devices; developer-based solutions and consumer offerings. Its security products include Web Application Firewall, Bot Management, SSL/TLS Encryption and Secure Origin Connection. Its performance products include Content Delivery, Intelligent Routing, Content Optimization and Others. It also offers a zero trust infrastructure access platform.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
SECTOR:
PASS
SALES:
PASS
CURRENT RATIO:
PASS
LONG-TERM DEBT IN RELATION TO NET CURRENT ASSETS:
PASS
LONG-TERM EPS GROWTH:
FAIL
P/E RATIO:
PASS
PRICE/BOOK RATIO:
FAIL
Detailed Analysis of CLOUDFLARE INC
NET Guru Analysis
NET Fundamental Analysis
Benjamin Graham Portfolio
Top Benjamin Graham Stocks
About Benjamin Graham: The late Benjamin Graham may be the oldest of the gurus we follow, but his impact on the investing world has lasted for decades after his death in 1976. Known as both the "Father of Value Investing" and the founder of the entire field of security analysis, Graham mentored several of history's greatest investors -- including Warren Buffett -- and inspired a slew of others, including John Templeton, Mario Gabelli, and another of Validea's gurus, John Neff. Graham built his fortune and reputation after living through some extremely difficult times, including both the Great Depression and his own family's financial woes following his father's death when Benjamin was a young man. His investment firm posted per annum returns of about 20 percent from 1936 to 1956, far outpacing the 12.2 percent average return for the market during that time.
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Validea's Top Information Technology Stocks Based On Benjamin Graham - 4/21/2025

Amtech Systems ASYS shares have plunged 31.2% year to date, underperforming the broader Zacks Computer and Technology sector’s 14.4% decline and the Zacks Semiconductor - General industry’s 17.3% drop.
The ASYS stock has also underperformed its peers, including NVIDIA NVDA, STMicroelectronics STM and Texas Instruments TXN.
In the same timeframe, shares of NVIDIA, STMicroelectronics and Texas Instruments have declined 17.4%, 18.1% and 21.3%, respectively.
Amtech's share price weakness reflects investor concerns over its lower revised outlook for the second quarter of fiscal 2025. ASYS is facing headwinds in key market segments, particularly in the industrial equipment and automotive sectors, wherein the demand for equipment and consumables remains soft.
Amtech Systems, Inc. Price and Consensus
Amtech Systems, Inc. price-consensus-chart | Amtech Systems, Inc. Quote
ASYS Slashes Q2 View on Industry Slowdown
Last week, Amtech released a concerning update to its fiscal second-quarter guidance, revealing significant operational and financial setbacks. ASYS slashed its revenue forecast from $21-$23 million to $15-$16 million. This downward revision is attributed to a customer dispute in the Thermal Processing Solutions segment, which led to a $4.9-million order shipment delay, and continued weakening demand in the mature-node semiconductor sector, including silicon carbide applications.
Consequently, ASYS anticipates a nominally negative adjusted EBITDA for the to-be-reported quarter, marking a reversal from its earlier projection of a nominally positive outcome.
Nevertheless, Amtech demonstrated resilience through restructuring and a focus on advanced packaging, which provided a tailwind to capital equipment demand and supported improved profitability and financial stability. Demand for ASYS reflow equipment in leading-edge applications, particularly in AI infrastructure, continues to strengthen.
Amtech’s Restructuring & Cost Efficiency to Boost Growth
ASYS has made substantial progress in restructuring its operations to improve cost efficiency and better align with evolving market demands. These efforts are already yielding tangible results, with more than $8 million in annualized cost savings realized to date and projections to reach $9 million by the end of the second quarter of fiscal 2025. A core element of this transformation is the adoption of a semi-fabless manufacturing model, which has effectively reduced fixed costs and improved operational leverage.
In response to inflationary pressures, Amtech has proactively implemented pricing adjustments over the past several quarters to improve its product margins. By the end of the second quarter, the company expects to have cleared the majority of its low-priced, lower-margin backlog, which should contribute positively to profitability. Amtech will continue to manage its pricing strategy with a focus on sustaining robust margins and ensuring long-term profitability in a dynamic market landscape.
Strong Demand in Advanced Packaging Aids ASYS’ Prospects
Amtech has observed a sharp acceleration in demand for advanced packaging, driven primarily by the rapid expansion of AI infrastructure. The long-term outlook for this segment remains strong as growing momentum in AI and high-performance computing continues to fuel capital equipment investments. Amtech’s customer base, mainly OSAT, is increasingly focusing on packaging chipsets for AI data centers, whereas the widespread deployment of AI-enabled hardware at the edge is driving the demand for advanced packaging solutions.
ASYS has identified advanced packaging as a key growth driver, particularly within the growing AI infrastructure market. In the first quarter of fiscal 2025, the company saw increased demand for its reflow equipment in advanced packaging applications related to AI. This growing interest is expected to act as a powerful catalyst.
Conclusion
While ASYS faces short-term pressures from soft industrial and automotive demand, its strong foothold in the fast-growing AI-driven advanced packaging space offers a meaningful upside. Operational improvements and a focus on higher-margin opportunities strengthen its outlook.
Amtech currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2024. While not all picks can be winners, previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Texas Instruments Incorporated (TXN) : Free Stock Analysis Report
STMicroelectronics N.V. (STM) : Free Stock Analysis Report
NVIDIA Corporation (NVDA) : Free Stock Analysis Report
Amtech Systems, Inc. (ASYS) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Amtech Stock Plummets 31% YTD: Should Investors Hold or Fold?

STMicroelectronics’ STM shares have tumbled 33.9% in the past six months, significantly underperforming the Zacks Computer & Technology sector and the Zacks Semiconductor-General industry’s declines of 17.2% and 28.5%, respectively.
The STM stock has underperformed its industry peers, including NVIDIA NVDA, Texas Instruments TXN and Amtech Systems ASYS.
Over the same period, NVIDIA, Texas Instruments and Amtech Systems recorded losses of 29%, 25.1% and 22%, respectively.
The bearish sentiment surrounding the stock can be attributed to a challenging outlook for the first quarter of 2025, marked by a steep 22.4% year-over-year revenue decline in the fourth quarter of 2024 and pronounced weakness across end markets, especially within the automotive and industrial segments.
STMicroelectronics N.V. Price and Consensus
STMicroelectronics N.V. price-consensus-chart | STMicroelectronics N.V. Quote
While STM's recent performance may seem discouraging, its ongoing initiatives, advanced microcontroller portfolio and increasing investment in Silicon Carbide (SiC) technologies provide a solid foundation for long-term growth.
SiC Momentum Remains Core Growth Driver for STM
STMicroelectronics has been strategically enhancing its focus on SiC technology.
A notable achievement in 2024 was STM’s generation of $1.1 billion in revenues from SiC products, including high-performance MOSFETs and diodes. This success was underpinned by multiple high-value wins with automotive and industrial customers, including a strategic cooperation with Ampere. The introduction of STM's fourth-generation SiC MOSFET technology further solidified its position in the market, offering enhanced power efficiency, density and robustness.
The China market emerged as a key growth engine for STM's SiC products, driven by healthy design-in activities and deepening partnerships with leading automakers. In 2024, STM reported securing more engagements with top China carmakers than any other supplier, highlighting its strong market position. A landmark long-term SiC supply agreement with Geely Auto exemplified STM's strong foothold in this rapidly expanding market.
To bolster its manufacturing capabilities, STMicroelectronics announced the construction of a high-volume SiC manufacturing facility in Catania, Italy. This initiative aims to create a vertically integrated manufacturing hub, enhancing the company's ability to meet the growing demand for SiC products. These efforts are expected to improve operating efficiency and yield annual cost savings in the high-triple-digit million-dollar range by the end of 2027.
Design Wins Boost STMicroelectronics’ Prospects
STM capitalized on the industry's shift toward software-defined vehicle architectures and electrification systems. The company secured multiple high-value design wins, particularly in consolidating electronic control units (ECUs) into more powerful units and adopting zonal architectures. STM collaborated with Mobileye on the EyeQ6 family, enhancing advanced driver-assistance systems for Level 1 and 2 functionalities.
In the industrial sector, STM reported a broad range of design wins in 2024, including applications in data centers, electric vehicle charging stations, renewable energy systems, white goods and factory automation. The company introduced products and reference designs tailored for high-performance telecom applications and AI server power supplies, highlighting its commitment to innovation in power and energy management.
STM32 Portfolio Strengthens STM’s Growth
STMicroelectronics’ advancements in the STM32 microcontroller series throughout 2024 underscore the company's dedication to delivering cutting-edge solutions that cater to the evolving needs of its diverse customer base.
In the fourth quarter, STM announced a service within the STM32 ecosystem, aiming to enhance development efficiency and time-to-market for customers. This initiative reflects the company's commitment to providing comprehensive solutions that support developers in leveraging the full potential of STM32 microcontrollers.
In December 2024, STMicroelectronics introduced the STM32N6 series, the company's most powerful microcontrollers to date. These microcontrollers are equipped with a proprietary neural processing unit, enabling advanced machine learning capabilities at the edge. This advancement positions STM to meet the growing demand for AI-enabled applications across various industries.
Furthermore, STM's ongoing collaborations and product developments within the STM32 line have solidified its leadership in the 32-bit microcontroller market.
Conclusion: Buy STM Stock
STMicroelectronics' strong product innovation, expanding STM32 microcontroller portfolio, strategic focus on SiC, and solid design wins across automotive and industrial markets position it for long-term growth. With strong fundamentals and rising momentum in high-growth markets, STM presents a compelling buying opportunity for investors seeking exposure to the semiconductor space.
STMicroelectronics currently has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Zacks' Research Chief Names "Stock Most Likely to Double"
Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.
This top pick is among the most innovative financial firms. With a fast-growing customer base (already 50+ million) and a diverse set of cutting edge solutions, this stock is poised for big gains. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Texas Instruments Incorporated (TXN) : Free Stock Analysis Report
STMicroelectronics N.V. (STM) : Free Stock Analysis Report
NVIDIA Corporation (NVDA) : Free Stock Analysis Report
Amtech Systems, Inc. (ASYS) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

STMicroelectronics Stock Falls 34% in 6 Months: Buy the Dip?

Investors interested in Semiconductor - General stocks are likely familiar with STMicroelectronics (STM) and Texas Instruments (TXN). But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Currently, STMicroelectronics has a Zacks Rank of #2 (Buy), while Texas Instruments has a Zacks Rank of #3 (Hold). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that STM has an improving earnings outlook. However, value investors will care about much more than just this.
Value investors also try to analyze a wide range of traditional figures and metrics to help determine whether a company is undervalued at its current share price levels.
Our Value category highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.
STM currently has a forward P/E ratio of 21.82, while TXN has a forward P/E of 28.31. We also note that STM has a PEG ratio of 0.76. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. TXN currently has a PEG ratio of 2.45.
Another notable valuation metric for STM is its P/B ratio of 0.94. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, TXN has a P/B of 8.15.
These are just a few of the metrics contributing to STM's Value grade of A and TXN's Value grade of D.
STM sticks out from TXN in both our Zacks Rank and Style Scores models, so value investors will likely feel that STM is the better option right now.
Zacks' Research Chief Names "Stock Most Likely to Double"
Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.
This top pick is among the most innovative financial firms. With a fast-growing customer base (already 50+ million) and a diverse set of cutting edge solutions, this stock is poised for big gains. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
STMicroelectronics N.V. (STM) : Free Stock Analysis Report
Texas Instruments Incorporated (TXN) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Indicator	TTM Median
P/E	10.91 28.91
Price/Sales	1.79 2.57
P/B	1.37 2.75
P/FCF	132.95 24.23

Indicator	TTM Median
ROE	13.29 15.39
ROA	9.19 6.67
ROI	15.64 9.86
Net Worth	24.88 0.98
Quick Ratio	2.56 1.53
Current Ratio	2.84 1.84

Indicator	TTM Median
Net Profit Margin	16.11 9.78
Operating Margin	16.37 11.22
Gross Margin	41.58 50.00
Return on tangible equity	13.82 27.59

Indicator	TTM Median
EPS	1.14 0.25
EPS Forecast	0.96 0.19
Revenue	3.25B 73.00M
Gross Profit	1.23B —
EBITDA	822.00M —

STMicroelectronics N.V.

Indicators STM

Valuation

Debts

Efficiency

Other ratios

Revenue