STMicro: a new buy opportunity, Liberum says
(CercleFinance.com) - Liberum has a buy rating on the STMicro stock, with a target price of 35 euros after its recent underperformance.
This analysis follows its interview with company management yesterday, which increased its confidence in the group's business outlook.
The broker reports that order and sales trends remain in line with Q2 expectations, with no further weakness seen in May, while demand from China continues to improve.
"The company has not yet made an assessment of the impact of the recent Huawei-related ruling by the US government," Liberum says.
"The shares have underperformed the sector recently, which we see as a renewed buying opportunity," it adds.
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