STMicroelectronics Shares Jump 2.5% and Lead the CAC 40

STMicroelectronics Takes the Lead in the CAC 40 Following the European Chip Sector

STMicroelectronics shares gained 2.66% to €56.37 during the session, leading the CAC 40 as the index rose by 0.14%. ASML advanced by 3.52% and ASM International by 2.82% on Euronext Amsterdam, while Micron in the United States saw an increase of nearly 2%. The rebound only mitigates a difficult month for the stock, which is still down by 17% over thirty days.

However, the performance remains spectacular over three months (+51%) and over a year (+101.5%), following the spring rally. Technically, the stock has regained ground above its MM50 (€53.94), with a 4.5% gap, but it is still significantly below its MM20 at €64.55 (12.7% gap). The RSI at 54 returns to a neutral zone, indicating a calming of the selling pressures observed since mid-June.

Q2 Results Expected on July 23, Stretched Valuation for the Current Fiscal Year

The next key date is set for July 23 with the publication of the second-quarter results. The release is closely watched following the spring warning and the volatility observed this summer, marked by several sessions at the end of the index, notably on July 16 following Micron's revenue announcement. According to the consensus of surveyed analysts, the stock is trading at about 49 times the expected earnings for the current fiscal year and 24.9 times those of 2027, a multiple that reflects expectations for a recovery in the semiconductor cycle.

The macro context remains supportive for final demand, with U.S. industrial production up 1.1% year-on-year in June and retail sales at +6.3%, while China reports a manufacturing PMI of 50.3 in April. The technical support at €52.15, tested several times over the past month, remains a major technical reference point before the accounts.