STMicroelectronics Shares Surge 4% and Lead the CAC 40

STMicroelectronics Leads the CAC 40 Following Semiconductor Sector

STMicroelectronics stock has risen by 3.9% to €60.77, marking the highest increase in the CAC 40 during the session, while the Parisian index itself only saw a 0.14% increase. This movement is part of a clear sectoral dynamic: ASML went up by 1.91% and ASM International by 3.17%, while Nvidia had gained 3.65% on Wall Street the previous day. The stock thus erases the 5% drop suffered on Tuesday, which had relegated it to the bottom of the index.

Despite this rebound, the weekly balance remains negative at -2.57%, and the stock has lost nearly 7% over a month. However, the three-month performance remains impressive at nearly 89%, and almost 120% over a year.

Stock Moves Below its 20-Day Moving Average but Maintains a Wide Cushion on its Longer Averages

Following the rebound, the price remains below the 20-day moving average (€64.55, a gap of -5.86%), indicating that the recent correction has not yet been fully absorbed. Conversely, the stock maintains a comfortable margin over its longer averages, with the 50-day moving average at €53.94 (+12.66%) and the 200-day at €31.91, more than 90% below the current price. The RSI at 54 has moved back into the neutral zone, away from the overheating levels observed in June when it crossed €70.

From a valuation standpoint, according to the consensus of analysts surveyed, the stock is trading at about 52.9 times the earnings expected this year and 27.1 times those of the next fiscal year. The resistance identified at €69.39 remains the next technical marker to watch, while the support at €52.15 frames the lower zone.