Zacks Investment Research·Sep 16, 2026
Zacks Industry Outlook NVIDIA, Texas, STMicroelectronics and IntelNVIDIA, Texas, STMicroelectronics and Intel have been highlighted in this Industry Outlook article.
STMicroelectronics is emerging from a deep cyclical trough, with 2026Q2 revenue up 24.4% YoY to $3.5B, but gross margin remains 690bps below 2024Q1 levels at 34.8%, signaling structural underutilization and mix challenges. The company's heavy capital intensity...
Price trend, volume and key moving averages
Start with the evidence for owning the stock and the risks that can break the thesis.
Revenue rebounded 24.4% YoY in 2026Q2 to $3.5B, but gross margin compressed to 34.8% from 41.7% in 2024Q1, reflecting persistent underutilization and a 690bps decline.
STMicroelectronics' high-performance vibration sensor with in-sensor AI provides a competitive edge in the industrial condition-monitoring market.
As a global semiconductor company with operational hubs in key regions, STMicroelectronics benefits from a diversified and scalable manufacturing footprint.
The company's acquisition of joint ventures, like the NXP partnership, demonstrates its commitment to expanding capabilities and market share.
Trailing total returns as of 9/23/2026, which may include dividends or other distributions. Benchmark is S&P 500 (^GSPC).
Check whether operating performance supports the current valuation.
Recent results and news deserve attention only when they alter the forward view.
| Quarter | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|
Q3 2026Latest Jul 23, 2026 | $0.31+19.2% vs $0.26 | $3.5B+0.7% vs $3.5B |
Q2 2026 Apr 23, 2026 | $0.13-31.6% vs $0.19 | $3.1B+1.2% vs $3.1B |
Q1 2026 Jan 29, 2026 | $0.11-59.3% vs $0.27 | $3.3B+1.4% vs $3.3B |
Q4 2025 Oct 23, 2025 | $0.29+31.8% vs $0.22 | $3.2B-3.6% vs $3.3B |
NVIDIA, Texas, STMicroelectronics and Intel have been highlighted in this Industry Outlook article.
AI and data-center demand are driving a powerful semiconductor cycle. We highlight NVDA and TXN as top picks despite geopolitical and supply-chain risks.
STMicroelectronics introduces automotive image sensor to help scale affordable in-cabin sensing Helps OEMs and Tier 1s bring driver and occupant monitoring to high-volume vehicle platforms with lower system cost Delivers 35% higher image sharpness and nearly 60% higher infrared sensitivity than the previous generation in a compact 1.1 MP automotive image sensor Geneva, Switzerland, September 14, 2026 – STMicroelectronics (NYSE: STM), a global semiconductor leader serving customers across the spectrum of electronics applications, introduces ST SafeSense VD56GA, a new 1.1 MP automotive image sensor for infrared in-cabin sensing that helps OEMs and Tier 1 suppliers scale driver and occupant monitoring across vehicle lines while balancing performance, integration, and cost. As driver and occupant monitoring moves into more vehicle platforms, automotive manufacturers and suppliers are looking for imaging solutions that support strong in-cabin performance without adding unnecessary system cost or design complexity.
STMicroelectronics NYSE: STM CFO Lorenzo Grandi said the chipmaker continues to see strong bookings, lean inventory and improving demand visibility across its end markets, with particular strength in artificial intelligence infrastructure, automotive and industrial applications.
Benchmark STM against direct peers instead of judging its metrics in isolation.
Key metrics vs top competitors for STMicroelectronics N.V. (STM)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $53.41 | $47.67B | 296.72 | -10.8% | 1.41% | 0.93% | 0.65% | |
| $271.41 | $247.86B | 49.80 | 13.05% | 31.11% | 35.77% | — | |
| $13.48 | $701.05M | 70.95 | -63.09% | 64.86% | 5.84% | — | |
| $73.60 | $28.64B | 253.79 | -15.35% | 10.17% | 8.35% | — | |
| $75.82 | $41.17B | 291.62 | 7.08% | 8.8% | 6.9% | — | |
| $237.57 | $59.91B | 29.88 | -2.74% | 22.56% | 27.1% | — |
STMicroelectronics N.V. (STM) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
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STMicroelectronics N.V. (STM) stock FAQ — growth, dividends, profitability & financials explained
STMicroelectronics N.V. (STM) reported $13.08B in revenue for fiscal year 2025. This represents a 217% increase from $4.12B in 1996.
STMicroelectronics N.V. (STM) saw revenue decline by 10.8% over the past year.
Yes, STMicroelectronics N.V. (STM) is profitable, generating $465.0M in net income for fiscal year 2025 (1.4% net margin).
Yes, STMicroelectronics N.V. (STM) pays a dividend with a yield of 0.65%. This makes it attractive for income-focused investors.
STMicroelectronics N.V. (STM) has a return on equity (ROE) of 0.9%. This is below average, suggesting room for improvement.
STMicroelectronics N.V. (STM) generated $216.3M in free cash flow for fiscal year 2025. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.
