BofA analyst Didier Scemama raised the firm’s price target on STMicroelectronics (STM) to $28 from $24 and keeps a Neutral rating on the shares. The firm’s higher target is due to a sector rerating, but its Neutral rating reflects elevated channel inventories, especially in Industrial microcontrollers, increased competition in low-end microcontrollers, especially in China, silicon carbide pricing pressure and low factory utilizations weighing on a gross margin recovery.
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