TD Cowen downgraded STMicroelectronics (STM) to Hold from Buy with a price target of $25, down from $32. The firm says broad-based semiconductor cyclical headwinds appear “extra gusty” given downstream inventory pressures. STMicroelectronics is a leader in power semis with its manufacturing network a long-term advantage, but its near-term revenue and margins are likely to remain muted, the analyst tells investors in a research note. TD sees others as better positioned to benefit from the eventual upcycle for now.
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