STMicroelectronics Shares Hit a 3-Year High at €50.86, Up 135% Over the Year

A Record at €50.86 Extends a Spectacular Rally

STMicroelectronics recorded a new three-year high of €50.86 during the session, surpassing the previous peak of €50.46 set in 2023. The price then retreated to €49.99, distinct from the intraday peak. The stock posted the strongest gain on the CAC 40, ahead of Orange (+1.71%) and AXA (+1.60%), bucking the trend in an index weighed down by luxury and aerospace sectors. The upward trend remains impressive: +8.63% over the week, nearly 78% over three months, and 135.7% over a year. The stock has successively crossed several technical thresholds mentioned in a previous brief, and continues to advance after the Q1 2026 results published at the end of April, which showed a 23% revenue growth. Peer ASM International dropped 0.05%, while ASML edged up 0.08%: the day's momentum is unique to the stock.

Technical Overheating and Stretched Valuation

The RSI has reached 84, deeply in the overbought zone. The price is at the upper end of the Bollinger Bands (89% of the band, upper limit at €52.41), reflecting the intensity of the movement. The gap to the moving averages is significant: the stock is more than 21% above its MM20 (€41.23) and nearly 94% above its MM200 (€25.78). The previous resistance at €49.04 was breached during the session. In terms of valuation, the stock is trading at approximately 48.5 times the earnings expected for the current fiscal year, compared to an average of 23.3 times for the technology sector. The multiple comes to 26.1 times the 2027 earnings, with an expected EPS growth of 85.8% from one year to the next. The next appointment on the financial calendar is the publication of the Q2 2026 results on July 23.