Shares of STMicroelectronics (STM) rose about 1% premarket on Thursday after the first quarter revenue outlook was seen above estimates.
Q4 Metrics
Net revenues for the fourth quarter ended Dec. 31, 2025, grew 0.2% year-over-year to $3.33B, beating estimates. Non-U.S. GAAP EPS declined -70.3% year-over-year to $0.11.
“Q4 net revenues came above the mid-point of our business outlook range, driven by higher revenues in Personal Electronics and, to a lesser extent, in CECP and Industrial, while Automotive was below expectations,” said STMicroelectronics’ President and CEO Jean-Marc Chery. “Q4 revenues marked the return to year-over-year growth.”
In the fourth quarter, the company posted operating income of $125M, including $141M related to impairment, restructuring charges, and other related phase-out costs.
Analog products, MEMS and Sensors (AM&S) segment revenue grew 7.5% year-over-year to $1.45B, mainly due to Imaging, according to the company.
Revenue from the Power and Discrete products (P&D) segment decreased 31.6% year-over-year to $412M. Meanwhile, revenue from the Microcontrollers, Digital ICs and RF products (MDRF) Product Group rose 7% year-over-year to $1.46B.
Outlook
STMicroelectronics said net revenues for the first quarter of 2026 are expected to be $3.04B at the midpoint, a decrease of 8.7% sequentially, plus or minus 350 basis points. The consensus revenue estimate is $2.93B.
The company expects a gross margin of 33.7%, plus or minus 200 basis points, in the first quarter of 2026.
Related stocks: NXP Semiconductors (NXPI), Analog Devices (ADI), and Lattice Semiconductor (LSCC) each rose about +1% premarket on Thursday, while Marvell Technology (MRVL) and Texas Instruments (TXN) each dipped about 1%.