STMicroelectronics Valuation
| STM Stock | USD 25.57 0.18 0.70% |
At this time, the company appears to be undervalued. STMicroelectronics NV ADR has a current Real Value of $33.99 per share. The regular price of the company is $25.57. Our model measures the value of STMicroelectronics NV ADR from evaluating the company fundamentals such as shares outstanding of 898.71 M, and Return On Equity of 0.13 as well as inspecting its technical indicators and probability of bankruptcy. Key fundamental drivers impacting STMicroelectronics' valuation include:
Price Book 1.3176 | Enterprise Value 19.1 B | Enterprise Value Ebitda 4.4018 | Price Sales 1.6264 | Forward PE 12.0048 |
Undervalued
Today
Please note that STMicroelectronics' price fluctuation is very steady at this time. Calculation of the real value of STMicroelectronics NV ADR is based on 3 months time horizon. Increasing STMicroelectronics' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the STMicroelectronics stock is determined by what a typical buyer is willing to pay for full or partial control of STMicroelectronics NV ADR. Since STMicroelectronics is currently traded on the exchange, buyers and sellers on that exchange determine the market value of STMicroelectronics Stock. However, STMicroelectronics' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 25.57 | Real 33.99 | Target 58.3 | Hype 25.59 |
The intrinsic value of STMicroelectronics' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence STMicroelectronics' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of STMicroelectronics NV ADR helps investors to forecast how STMicroelectronics stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of STMicroelectronics more accurately as focusing exclusively on STMicroelectronics' fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use STMicroelectronics' intrinsic value based on its ongoing forecasts of STMicroelectronics' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against STMicroelectronics' closest peers.
STMicroelectronics Cash |
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STMicroelectronics Valuation Trend
Knowing STMicroelectronics' actual value is paramount for traders when making sound investment determinations. Using both STMicroelectronics' enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
STMicroelectronics Total Value Analysis
STMicroelectronics NV ADR is at this time anticipated to have company total value of 19.09 B with market capitalization of 23.14 B, debt of 3.17 B, and cash on hands of 3.26 B. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the STMicroelectronics fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
19.09 B | 23.14 B | 3.17 B | 3.26 B |
STMicroelectronics Investor Information
The company has price-to-book ratio of 1.32. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. STMicroelectronics NV ADR last dividend was issued on the 17th of December 2024. The entity had 3:1 split on the 9th of May 2000. Based on the key indicators related to STMicroelectronics' liquidity, profitability, solvency, and operating efficiency, STMicroelectronics NV ADR is doing better financially today then in previous quarter. It has a moderate probability of reporting better financial numbers in December.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Total Cash From Operating Activities | 7.1 B | 6 B |
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STMicroelectronics Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. STMicroelectronics has an asset utilization ratio of 70.69 percent. This suggests that the Company is making $0.71 for each dollar of assets. An increasing asset utilization means that STMicroelectronics NV ADR is more efficient with each dollar of assets it utilizes for everyday operations.STMicroelectronics Ownership Allocation
STMicroelectronics NV ADR shows a total of 898.71 Million outstanding shares. About 91.48 % of STMicroelectronics outstanding shares are held by general public with 8.52 % by institutional holders. Please note that no matter how many assets the company owns, if the real value of the company is less than the current market value, you may not be able to make money on it.STMicroelectronics Profitability Analysis
The company reported the last year's revenue of 17.29 B. Total Income to common stockholders was 4.21 B with profit before taxes, overhead, and interest of 7.63 B.STMicroelectronics Past Distributions to stockholders
About STMicroelectronics Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of STMicroelectronics NV ADR. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of STMicroelectronics NV ADR based exclusively on its fundamental and basic technical indicators. By analyzing STMicroelectronics's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of STMicroelectronics's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of STMicroelectronics. We calculate exposure to STMicroelectronics's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of STMicroelectronics's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 8.3 B | 8.7 B | |
| Pretax Profit Margin | 0.27 | 0.28 | |
| Operating Profit Margin | 0.27 | 0.28 | |
| Net Profit Margin | 0.24 | 0.26 | |
| Gross Profit Margin | 0.48 | 0.41 |
STMicroelectronics Quarterly Retained Earnings |
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A single share of STMicroelectronics represents a small ownership stake in the entity. As a stockholder of STMicroelectronics, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
STMicroelectronics Dividends Analysis For Valuation
As of the 26th of November 2024, Dividends Paid is likely to drop to about 213.4 M. In addition to that, Dividend Yield is likely to drop to 0. At this time, STMicroelectronics' Retained Earnings are very stable compared to the past year. As of the 26th of November 2024, Earnings Yield is likely to grow to 0.1, while Price Earnings Ratio is likely to drop 10.22.
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 223 M | 213.4 M | |
| Dividend Payout Ratio | 0.05 | 0.05 | |
| Dividend Paid And Capex Coverage Ratio | 1.26 | 1.20 |
There are various types of dividends STMicroelectronics can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of STMicroelectronics shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from STMicroelectronics NV ADR directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When STMicroelectronics pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of STMicroelectronics by the value of the dividends paid out.
STMicroelectronics Growth Indicators
Investing in growth stocks can be very risky. If the company such as STMicroelectronics does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 944.2 M | |
| Quarterly Earnings Growth Y O Y | -0.681 | |
| Forward Price Earnings | 12.0048 |
STMicroelectronics Current Valuation Indicators
STMicroelectronics' valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final STMicroelectronics' valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as STMicroelectronics, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use STMicroelectronics' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes STMicroelectronics' worth.When determining whether STMicroelectronics NV ADR is a strong investment it is important to analyze STMicroelectronics' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact STMicroelectronics' future performance. For an informed investment choice regarding STMicroelectronics Stock, refer to the following important reports: Check out World Market Map to better understand how to build diversified portfolios, which includes a position in STMicroelectronics NV ADR. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in estimate. You can also try the Commodity Channel module to use Commodity Channel Index to analyze current equity momentum.
Is Semiconductors & Semiconductor Equipment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of STMicroelectronics. If investors know STMicroelectronics will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about STMicroelectronics listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.68) | Dividend Share 0.36 | Earnings Share 2.43 | Revenue Per Share 15.77 | Quarterly Revenue Growth (0.27) |
The market value of STMicroelectronics NV ADR is measured differently than its book value, which is the value of STMicroelectronics that is recorded on the company's balance sheet. Investors also form their own opinion of STMicroelectronics' value that differs from its market value or its book value, called intrinsic value, which is STMicroelectronics' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because STMicroelectronics' market value can be influenced by many factors that don't directly affect STMicroelectronics' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between STMicroelectronics' value and its price as these two are different measures arrived at by different means. Investors typically determine if STMicroelectronics is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, STMicroelectronics' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.