STMicroelectronics Shares Drop 4.55% to €52.65 Following a Five-Year Peak
The Franco-Italian semiconductor manufacturer ranks last in the CAC 40 at midday this Friday, at €52.65. The stock is giving back some of its gains following a five-year high of €54.32. The decline is in line with that of several European semiconductor equipment manufacturers.
A Correction That Positions the Stock at the Bottom of the CAC 40 After a 132% Rally
STMicroelectronics shares fell by 4.55% to €52.65, making it the lowest performer in the CAC 40 as the Paris index itself fell by 1.3%. This movement comes after the stock reached a five-year high on Thursday at €54.32. The year-over-year performance remains very high at 126.1%, with a three-month gain of 85%. The decline mirrors that of other European semiconductor stocks. ASML Holding is down 4.46% and ASM International has decreased by 4.36%. In the United States, Micron Technology closed down 3.44% the previous day, while Nvidia had gained 4.39%. ArcelorMittal (-4.07%) and Schneider Electric (-2.93%) are also among the heavily penalized stocks in the index. At the other end, Sanofi is up 1.2% and leads the CAC 40.
An RSI of 82 and a Valuation at 50.5 Times Earnings After the Rally
The price remains 17.89% above the 20-day moving average (€44.66) and nearly 100% above the 200-day moving average (€26.36). An RSI of 82 indicates the intensity of the recent rally and remains in the overbought zone despite today's decline. The stock is positioned at the upper end of the Bollinger Bands, at 85% of the bandwidth, below the upper limit of €55.93. In terms of valuation, the consensus of 18 analysts followed by yfinance (updated May 6, 2026) stands at 50.5 times the earnings for the current fiscal year and 27.2 times those of the following year, compared to 24.7 times for the average of the Technology sector. The expected EPS growth between the two fiscal years is 85.8%. As a reminder, the group had posted on April 23 a 23% increase in first-quarter 2026 revenue, with a diluted net result down. The next financial appointment is scheduled for July 23, 2026, with the publication of the second-quarter results.
