STMicroelectronics Shares Continue to Rise in an Euphoric Semiconductor Market

The Stock Challenges the €68.49 Resistance After a Rally of Over 126% in Three Months

STMicroelectronics stock gains 1.94% at €66.11, as the CAC 40 advances by 1.60%. The stock is nearing the technical resistance threshold identified at €68.49, after gaining 31.43% over one month and 126.8% over three months. The momentum remains exceptional, although a pause is observed over the week, with a decline of 0.91%. The deviation from moving averages illustrates the extent of the rally: the price is 10.29% above the MM20 (€59.94) and 37.07% above the MM50 (€48.23). The RSI at 64 remains below the overbought threshold despite the surge, indicating a gradual absorption of the excesses accumulated since February. The stock is part of a broad sector movement, with ASML advancing 1.65% and ASM International by 1.58% in Amsterdam, while Lam Research, Micron, and AMD respectively gain 12.65%, 11.66%, and 7.97% on Wall Street.

Deutsche Bank and Bank of America Significantly Raise Their Targets on the File

Two target upgrades support the bullish sequence. Deutsche Bank raised its target from €52 to €75 on June 11, with a buy rating, representing a potential upside of about 13% from the current price. Bank of America raised its target from €71 to €86 the day before, also with a buy rating, corresponding to a potential of around 30%. These revisions extend a cycle of upward adjustments observed since the end of May, following the announcement of increased ambitions for data centers on June 2. Additionally, this Friday, the group presented, along with its partners from the Software Republic, a territorial intelligence platform named cleveR insights. According to the consensus of analysts surveyed, the stock is priced at approximately 60.3 times the earnings of the current fiscal year and 31.7 times those of the following year. The resistance at €68.49, now in sight, is the next observable technical level.