5 Best Semiconductor Stocks To Buy Now

4. STMicroelectronics N.V. (NYSE:STM)

Forward P/E ratio as of December 15: 9.78

Number of Hedge Fund Holders: 19

STMicroelectronics N.V. (NYSE:STM) is a leading firm in the semiconductor space, and its products include analog chips, microcontrollers, discrete power semiconductors, and sensors. The company is also among the well-known chip suppliers to the automotive and industrial sectors.

On December 12, 2022, Christopher Rolland, an analyst at Susquehanna, started covering STMicroelectronics N.V. (NYSE:STM) with a price target of $50 and a Positive rating on the stock. The company’s Q3 2022 revenue was reported at $4.31 billion, beating market expectations by $69.31 million. The Normalized EPS of the company stood at $1.16, beating analysts’ estimates by $0.12 in the third quarter.

As per Insider Monkey’s proprietary database, 19 hedge funds were bullish on STMicroelectronics N.V. (NYSE:STM), as of the end of the third quarter. Millennium Management was the biggest stakeholder in the company’s stock at the end of Q3 2022.

Here is what Saturna Capital has to say about STMicroelectronics N.V. (NYSE:STM) in its Q3 2021 investor letter:

STMicroelectronics has a goal of becoming carbon neutral by 2027, and in 2020 reported that their greenhouse gas emissions were down 19% over the previous year. In 2020, STMicroelectronics was the only semiconductor company with targets approved by the Science Based Targets Initiative for limiting warming to 1.5 degrees Celsius, and their 2027 net-zero goal is recognized as one of the most ambitious in the industry. As greenwashing presents a growing concern within the ESG community, and as more and more funds engage in re-branding exercises that have little to do with pursuing sustainable investment practices among others, our definition of sustainability includes financial sustainability, most often demonstrated by intelligent capital allocation leading to solid cash flows that can sustain a business without resorting to excessive leverage.