STMicro: Oddo confirms rating after deal with Cree
(CercleFinance.com) - Cree and STMicroelectronics have announced the development of their agreement for the long-term supply of silicon carbide (SiC) wafers.
This means that their contract will be extended to over 500 million dollars.
Thanks to this agreement, STM further strengthens its leading position in this market, which is expected to reach a turnover of 1 billion dollars in 2025 (compared to 200 million dollars in 2019), Oddo says.
The broker says that this announcement reinforces its Buy rating on the share, maintaining its target price of 25 euros (about 14% upside), although the share price could increase well above this level, it adds.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
This means that their contract will be extended to over 500 million dollars.
Thanks to this agreement, STM further strengthens its leading position in this market, which is expected to reach a turnover of 1 billion dollars in 2025 (compared to 200 million dollars in 2019), Oddo says.
The broker says that this announcement reinforces its Buy rating on the share, maintaining its target price of 25 euros (about 14% upside), although the share price could increase well above this level, it adds.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.