STM collaborates with Qualcomm for AI-powered IoT solutions, but stock underperforming, forecasted decline in revenues.

From Nasdaq: 2024-10-04 12:11:00

STMicroelectronics partners with Qualcomm Technologies to develop next-gen IoT solutions with edge AI. Collaboration to blend Qualcomm’s AI-powered wireless technologies with STM’s MCU ecosystem, enabling smooth connectivity software integration. Despite recent product launches, STM shares have fallen 43.7% YTD, underperforming sector peers. STM introduces STM32MP2 series and ultra-low-power MCU to enhance edge performance and energy efficiency in industrial applications. STM launches ISM330BX 6-axis IMU and ST Edge AI Suite to improve industrial sensing and motion tracking applications. STM expands its automotive end market offerings with 6-axis module and safety software library for functional safety applications. However, STM forecasts a decline in revenues and earnings for Q3 2024, impacted by product mix and lower demand in the Industrial market. The company anticipates a delayed recovery in the Industrial end market and lower-than-expected growth in the Automotive end market in the second half of 2024. STM’s shares are currently undervalued with a Value Score of B and a Zacks Rank #4 (Sell). Investors are advised to stay away from the stock.



Read more at Nasdaq: Can STM’s Partnership With Qualcomm Subsidiary Push the Stock Higher?