5 Cheap Semiconductor Stocks to Invest In Today

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

Number of Hedge Fund Holders: 11 

Share Price as of December 15: $47.60       

STMicroelectronics N.V. (NYSE:STM) makes and sells semiconductor products. The stock has jumped since late October after the firm raised fiscal year guidance and increased estimates for fourth quarter earnings, saying it was targeting over 23% year-on-year growth. 

On November 29, STMicroelectronics N.V. (NYSE:STM) announced the release of the ST31 secure microcontroller, a product that would facilitate advanced security for payment cards, ID cards, and transport ticketing. 

At the end of the third quarter of 2021, 11 hedge funds in the database of Insider Monkey held stakes worth $49 million in STMicroelectronics N.V. (NYSE:STM), compared to 13 in the previous quarter worth $159 million.

In its Q3 2021 investor letter, Saturna Capital, an asset management firm, highlighted a few stocks and STMicroelectronics N.V. (NYSE:STM) was one of them. Here is what the fund said:

“STMicroelectronics has a goal of becoming carbonneutral 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.”