STM Earnings

STM reported its earnings on 2026-01-29, showcasing a revenue of 3.33B against an estimate of 3.28B, resulting in a 1.49% surprise. The EPS was 0.11, surpassing the expected 0.27 by -59.26%. The stock experienced a -5.64% price change on the earnings day and a -8.14% change over the next five days, reflecting market reactions to the results.

Following STM's earnings announcement on 2026-01-29, the stock price moved by -5.64% on the day of the release. Over the subsequent five days, it saw a -8.14% change. Historically, STM's stock price tends to shift by an average of 7.11% in the 10 days leading up to earnings and -1.24% in the 10 days following, providing insight into potential market.

For 2026/Q1, analysts estimate STM's annual revenue to reach 2.91B, while the EPS is projected at 0.14. These estimates reflect recent revisions, with revenue estimates revised upward by 0.01% and EPS estimates unchanged by 0% over the past three months, indicating analyst expectation in the company's performance.

The correlation between STM's stock price and earnings forecast revisions shows that positive revisions in revenue or EPS often strengthen the stock's fundamentals. Over the past three months, revenue estimates for FY2025 were revised upward by 0.01%, while EPS estimates moved unchanged by 0%. This trend suggests that price dips could present buying opportunities for investors.

Based on historical trends, STM's stock price typically moves by 7.11% in the 10 days before its earnings and -1.24% in the 10 days after. For the upcoming 2026/Q1 earnings, analysts expect an EPS of 0.14 and revenue of 2.91B.

The earnings call summary presents a mixed picture. While there are positive elements like growth in the Communication Equipment and AI Data Center segments, and a stable automotive market, there are also concerns. The significant drop in operating income and net cash from operating activities, along with management's reluctance to provide specific guidance, tempers optimism. The Q&A revealed a cautious tone regarding competition and inventory correction. Given these factors, the stock price is likely to remain neutral in the short term, with no significant catalysts for upward or downward movement.